Fremont, Saxon Engaged In Unfair, Deceptive, Predatory Lending Practices, Says Martha's Vineyard Lawsuit

In Massachusetts, on the island of Martha's Vineyard, the Martha's Vineyard Gazette reports:

• The town of West Tisbury has filed a lawsuit against a mainland subprime mortgage company that loaned more than half a million dollars to an affordable homesite owner in town who had no ability to repay — and then foreclosed on the property. The lawsuit charges Saxon Mortgage Services Inc., a Texas-based lending institution, and Fremont Investment and Loan of southern California, with unfair, deceptive and predatory lending practices. Filed in Dukes County Superior Court on Dec. 20 by West Tisbury town counsel Ronald H. Rappaport, the complaint seeks to reestablish a set of protective covenants that run with the property to ensure that it will remain affordable in perpetuity.

For more, see Lawsuit Targets Subprime Bank.

Go here for a post on the Massachusetts Attorney General litigation against Fremont alleging predatory practices.