What does SUN do to stop the predatory lenders that are taking advantage of low-income families? We fight for our neighborhoods! And SUN wins!
In the merger frenzy of recent years, Citifinancial bought the country’s worst predatory lender, The Associates. Groups like SUN, working together under the banner of National People’s Action (NPA), started an intense organizing campaign to bring Citifinancial to the table. NPA groups across the country were determined to end the high interest rates and hidden fees used by The Associates to scam low-income homeowners out of their houses. Our neighborhoods would be destroyed if these practices were continued by Citifinancial.
The hard organizing work by neighborhood groups resulted in a May 2003 agreement that obligated Citifinancial to review all loans submitted to them by SUN and other NPA groups and to repair the loans where necessary.
As of August 16th 2004, SUN has submitted 47 loans to Citifinancial for review. 20 families have had their loans repaired and 19 are waiting for Citifinancial’s response. The results have been incredible. Families have had points and fees waived or reimbursed. Interest rates have been reduced. Some families have had loans partially or completely written off.
In total, SUN has helped families save over $400,000 in fees, interest modifications and loan write -offs. And that’s just half the families we submitted for review! What SUN is most excited about is the number of foreclosures that were avoided as a result of these loan repairs. Modifications were made that extended the term of the loan, lowered the interest rate and brought the loan current. This enabled the family to afford their payment and keep their home.
SUN doesn’t just work with Citifinancial borrowers. If you, or anyone you know, is having a hard time making their monthly mortgage payment, call Kelly Obit at the SUN office at 476-7475.