Comments on: “Mortgage Rate Racism” in Chicago? http://www.chicagoamren.com/2007/05/24/%e2%80%9cmortgage-rate-racism%e2%80%9d-in-chicago/ Racial, immigration, and related issues in the Chicago area Thu, 28 Aug 2008 15:04:55 +0000 http://wordpress.org/?v=2.0.5 by: Tom Allen http://www.chicagoamren.com/2007/05/24/%e2%80%9cmortgage-rate-racism%e2%80%9d-in-chicago/#comment-14 Wed, 06 Jun 2007 03:29:17 +0000 http://www.chicagoamren.com/2007/05/24/%e2%80%9cmortgage-rate-racism%e2%80%9d-in-chicago/#comment-14 There are all sorts of strange imbalances because of all the terms and conditions attached to different kind of mortgage products by half to say that the possibilities raised by this article are still shocking. There are all sorts of strange imbalances because of all the terms and conditions attached to different kind of mortgage products by half to say that the possibilities raised by this article are still shocking.

]]> by: Jennifer M http://www.chicagoamren.com/2007/05/24/%e2%80%9cmortgage-rate-racism%e2%80%9d-in-chicago/#comment-9 Sat, 02 Jun 2007 11:33:10 +0000 http://www.chicagoamren.com/2007/05/24/%e2%80%9cmortgage-rate-racism%e2%80%9d-in-chicago/#comment-9 This is what happens when a lot of loans are made to people who are less credit worthy. The lenders are going to be "damned if they do, damned if they don't." If they set lending standards high enough to screen out bad borrowers, they will be accused of refusing to make loans to Blacks. If they charge Blacks a high enough interest rate to cover the risk, you get the situation described in the article. Here is a link to an Amren page discussing the same issue: http://www.amren.com/mtnews/archives/2005/09/recycled_aracis.php# This is what happens when a lot of loans are made to people who are less credit worthy. The lenders are going to be “damned if they do, damned if they don’t.” If they set lending standards high enough to screen out bad borrowers, they will be accused of refusing to make loans to Blacks. If they charge Blacks a high enough interest rate to cover the risk, you get the situation described in the article.

Here is a link to an Amren page discussing the same issue:
http://www.amren.com/mtnews/archives/2005/09/recycled_aracis.php#

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