Everyone should know by now that in the housing game, when everything was going relatively good, the banks were wooing black folks to what is popularly known as subprime loans. Those loans that promise you a low interest rate or low monthly mortgage payment and then they blow up later. These loans are normally targeted to those with low credit scores or are under 680.
The majority of those who bought these houses with this type of loan are either homeless or trying to figure out how to unload the house because of missed mortgage payments. Co-lead counsel for the NAACP said, “Austin Tighe, co-lead counsel for the NAACP, said black home buyers have been 3 1/2 times more likely to receive a subprime loan than white borrowers, and six times more likely to get a subprime rate when refinancing.
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