San Francisco, CA – On his most recent “Listening Tour,” CFPB (Consumer Financial Protection Bureau) Director Richard Cordray at the invitation of Greenlining Institute listened to the disheartening stories representing the thousands of minority community representatives who responded to his questions and inquiries as to the impact and achievements if any of the Independent Financial Review (IFR) Process.
Speaking from personal experience and those of several clients, Yolanda Lewis, the recently elected President of the Black Economic Council, a leading community and economic development non-profit serving the minority community in Bay Area gave first hand testimony to Director Cordray. Mrs. Lewis testified, “Just this past Sunday, one full page ad ran promoting the IFR, and only one radio spot – nothing more. With less than 45 days remaining, so little of our community is aware of the IFR and for those of us who did seek out a refinance out of our “exotic loans, the best we were offered was a balloon payment into another adjustable rate mortgage. Compounding this issue is that those of us who did apply had to reach out to the Market Presidents – a venue not available to the thousands of minority community members who have already lost their homes or are trying to refinance into a 30-year fixed mortgage not another ARM.
I ask you today to encourage that the IFR process be extended and that of the 14 banks do more to support the IFR process.” “What shocks me is that of the three largest banks serving California, all of which are a part of the Department of Justice and recent Attorney General Settlements, the recent HMDA (Home Mortgage Disclosure Act) for 2011 reflects that of the 183,761 Home Refinancing Loans provided to Californians by these three banks, only 3,581 were made to Black Americans – that is less than 2%. Yet again, our community is being steered away from conventional 30-year fixed loans into ARM’s that will begin re-setting in 2013 and once again place our community on the precipice of default and foreclosure,” reported Mrs. Lewis.
To learn more visit www.IndependentForeclosureReview.com for more information about the review and claim process which must be done by December 31, 2012.
 2011 HMDA data results for owner-occupied home refinancing loans in the State of California.