Insight Center to Explain How the National Mortgage Settlement Will Affect Communities of Color
On April 4, the Insight Center for Community and Economic Development's Closing the Racial Wealth Gap Initiative will host a webinar from 4 to 5 p.m. on how the national mortgage settlement will impact communities of color.
The webinar will also present new data about the effects of the foreclosure crisis on African-American, Latino, Asian American and Native American communities—those hit hardest by deceptive lending practices. They were more likely to receive high-priced loans than white borrowers with the same credit scores and experienced racial disparities in subprime lending in all regions of the country. "This has resulted in higher rates of foreclosures in these communities and has contributed to the widening of the racial wealth gap," Insight states.
In February of 2012, 49 state attorneys general reached a settlement with five of the nation's largest banks: Ally/GMAC, Bank of America, Citi, JPMorgan Chase and Wells Faro, acknowledging that the loan servicers routinely violated the law. These banks regularly signed foreclosure documents without the presence of a notary public and without knowing whether the information in the documents was factual. The settlement will provide as much as $25 billion in relief to distressed borrowers and direct payments to states and the federal government. This is the largest multistate settlement since the Tobacco Settlement in 1998, states the settlement website at nationalmortgagesettlement.com.
Anne Price, director of the Closing the Racial Wealth Gap Initiative, will lead the webinar, which will feature an introduction by Janis Bowdler, director of the National Council of La Raza's Wealth Building Policy Project, which seeks to strengthen Latino communities by preserving and increasing their wealth.
Jim Carr, chief business officer for the National Community Reinvestment Coalition, will provide an overview of the impact of the mortgage crisis on communities of color. Doug Gansler, Maryland's attorney general, will deliver the featured presentation.
To register for the webinar, contact Andrew Sousa at firstname.lastname@example.org or by phone at (202) 265-5111.
The Insight Center for Community Economic Development is a national research, consulting and legal organization dedicated to developing and promoting innovative solutions that help people and communities become, and remain, economically secure.