‘Could Set Minority Buyers Up For Failure’: Major Financial Outlet On BoA Lending Scheme | Eastern North Carolina Now

    Publisher's Note: This post appears here courtesy of the The Daily Wire. The author of this post is Amanda Prestigiacomo.

    A major financial outlet last week warned that a controversial lending scheme from Bank of America aimed at helping black and Hispanic homebuyers could actually negatively impact them.

    Bank of America's so-called Community Affordable Loan Solution offers loans with no down payments and no closing cost, The Daily Wire reported last week. The bank is specifically targeting black and Hispanic neighborhoods across the nation and requiring no minimum credit score for participants.

    MoneyWise, a financial site reaching millions of readers a month, warned that the program could easily "backfire."

    "While credit scores aren't always an accurate barometer of a buyer's purchase power or ability to make timely payments, advocates worry the interest rates required to make up for the low bar the lender is setting could set minority buyers up for failure," MoneyWise explained.

    Harkening back to the 2008 housing crisis, the financial site noted that much of the issues were driven by banks doling out risky loans to unqualified buyers.

    Notably, Bank of America was bailed out by tens of billions of dollars by the American taxpayer due to the crisis.

    The Community Affordable Loan Solution program seems to be replicating the problems, the site suggested.

    "It's likely that at least some of the borrowers under Bank of America's new program would be considered 'subprime' under ordinary lending rules - recalling the ugliest days of the 2008 crisis and supplying critics with easy talking points," MoneyWise explained.

    Meanwhile, the bank is championing the program as a leg-up for minorities.

    "Our Community Affordable Loan Solution will help make the dream of sustained homeownership attainable for more Black and Hispanic families, and it is part of our broader commitment to the communities that we serve," boasted A.J. Barkley, head of neighborhood and community lending for Bank of America.

    Criticism of the bank program goes beyond its functionality; some online blasted the lender for the racially-charged focus and seeming exclusions.

    For example, commentator Steve Cortes, who also served as a campaign spokesman for former President Trump, called the program racist.

    "Hey Americans who happen to be white: You bailed out Bank of America when they (and every other big bank) nearly collapsed the economy," Cortes tweeted, The Daily Wire highlighted. "Now...BofA pays you back with an explicitly race-based lending program that overtly discriminates against white people. Had enough???"

    Attorney Harmeet Dhillon added the program could potentially violate the federal Consumer Credit Protection Act and California's Unruh Act, a 1959 law that prohibits businesses from discriminating against consumers based on various factors including race, color, religion, ancestry, and national origin.

    Greg Wilson contributed to this report.

poll#162

In what may be the most divisive period in modern American History, even more divisive than the turbulent sixties due to today's lack of patriotism, consider what are the major catalysts causing so much of this calamity of conflict, and vote: What most instigates the division of America, on this day September 20, 2022?

  Racism within our society

  Sex realignment to the detriment of our society.

  Biden /Harris Wide Open Southern Border Policy for the Demographic Upheaval of OUR Constitutional Republic

  Rampant Crime in Democratic controlled cities, and the possible contagion elsewhere

  Covid Pandemic, and its mishandling at the political, and bureaucratic levels.

  The unresolved questions /allegation regarding the flawed 2020 General Election

  January 6th Riot or "Armed Insurrection", depending upon patriotic perspective

  Joe Biden as Divisive Leader; Ineffective and Corrupt Executive

  Failed Education Industry, from an overall perspective, regarding all levels of education.

  Propagandistic Media in complete conflict with the First Amendment's guarantee of Freedom of Speech, and the awesome responsibility of a Free Press..

  "Orangeman Bad!"

  Bureaucracy rushing to a behemoth size, its unjustified expense, and far too often overreach.

  The Weaponized Deep State for political purposes

  A secular ambivalence to all that is real.

  Record number of overdose deaths from opioids and now Fentanyl

  Biden Administration's disastrous Foreign Policy

  Bidenflation /supply chain failure inevitably evolving into stagflation and recession.

  "Ultra MAGA Extremists" freely speaking louder AND LOUDER!

927 total vote(s)     What's your Opinion?

poll#161

Considering what is being reported as the most divisive presidential speech - September 1, 2022 - in modern American history, where over 74,000,000 people, many of whom are OUR greatest patriots, were named as fascists by inference or otherwise: Is Joe Biden clearly capable of governing all of the American People to the betterment of this Representative Republic?

  Yes, it is important that Haters are named.

  No, Joe Biden cannot accept criticism when the real truth is his cruelest taskmaster.

  I have no idea what is going on because I only consume Democratic Socialist Media.

629 total vote(s)     What's your Opinion?

poll#154

Inarguably, the policies of the Democrats in congress and Joe Biden as the Executive is plunging the United States into a recession, if we are not already there; a recession that was completely avoidable. Will abrupt changes in policies occur in time?

  Yes, the Democrats have a bold plan, yet to be revealed, to save us.

  No, there will have to be a complete undoing of the damage done by these Democrats.

  I can't do simple math, so how am I to understand the concept of basic economics.

1,216 total vote(s)     What's your Opinion?