nobk4me

Do creditors target women and minorities for lawsuits?

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I have seen it alluded to here and on other forums that creditors, especially JDBs, target women and minorities for lawsuits. On another forum it was mentioned that JDBs with former Advanta accounts are filing suits in Florida against people with Hispanic names.

I assume the reason for this is the stereotypical view that women and minorities are lower income and lack legal sophistication, and therefore are less likely to defend a lawsuit or hire an attorney.

Is there any evidence of this practice? Any statistics, or even anecdotal accounts?

Does this practice violate any laws?

Could it be used as an affirmative defense, and how would one plead and brief this?

Of course there is always the court of public opinion.

I'm just opening this up for discussion.

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All of our country has been targeted by fraudulent corporations for credit services with exorbitant interest rates that cannot be paid back in life. Household Finance Corporation/Beneficial was KNOWN to go after low income people who lacked credit knowledge and sophistication. I believe they were sued on this very issue, among others.

Predatory lending schemes have affected minorities, women and the majority population as well. There are more poor whites in this country numerically speaking than any other ethnic group and many of THEM were targeted by Capital 1, Household Finance Corp/Beneficial, Cross Country Bank etc and the numbers are telling us that our current financial paradigm is untenable. Most Americans carry some debt and in this economy that will likely not change in the future.

All of this to say that ALL OF AMERICA is suffering at the hands of these dishonest banksters regardless of their ethnic group or gender. Look at the dockets for rural counties that are majority white, these rural white people are being sued left and right by creditors!

And certainly there still exists remnants of racism, but in this case I think the entire population has been screwed with!

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I have not heard of any studies to that effect and it would be hard to study something like that. Even so, I cannot see that there is an illegal discrimination. The JDB's/Banks have the right to take you to court one day after default and as such, can pick and choose whether to proceed with a legal case or not.

I would rather look into stronger grounds to attack such as proof before I went to cry discrimination.

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I have not heard of any studies to that effect and it would be hard to study something like that. Even so, I cannot see that there is an illegal discrimination. The JDB's/Banks have the right to take you to court one day after default and as such, can pick and choose whether to proceed with a legal case or not.

I would rather look into stronger grounds to attack such as proof before I went to cry discrimination.

For sure WC...look for proof first and let the ACLU take care of the discrimination issues...AFTER you've won YOUR case...lol!!

RL

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For sure WC...look for proof first and let the ACLU take care of the discrimination issues...AFTER you've won YOUR case...lol!!

RL

I would have to agree, to get anywhere with a claim like this you are going to have to get a ton of expert testimony (at your expense) spend a lot of time in court, research, depositions, etc. This is going to detract from the focus on winning the point of the debt. You are much better off fighting this battle on the grounds of proof of claim, etc. Then you if you still are interested in fighting the battle on discrimination, go talk with the ACLU.

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I have seen it alluded to here and on other forums that creditors, especially JDBs, target women and minorities for lawsuits. On another forum it was mentioned that JDBs with former Advanta accounts are filing suits in Florida against people with Hispanic names.

I assume the reason for this is the stereotypical view that women and minorities are lower income and lack legal sophistication, and therefore are less likely to defend a lawsuit or hire an attorney.

Is there any evidence of this practice? Any statistics, or even anecdotal accounts?

Does this practice violate any laws?

Could it be used as an affirmative defense, and how would one plead and brief this?

Of course there is always the court of public opinion.

I'm just opening this up for discussion.

A very interesting theory, and you forgot the elderly. I personally believe it is not true and would be impossible to prove if it happened to be.

I believe what has happened and continues to happen is that certian creditors select "regions" based on demographics, such as income, unemployment, education levels, home ownership and age distrubution.

They then develop and market their "quality" products in this region very agressively. I live in central KY, but have family in the Eastern coal fields. They show me some of the crap they receive in the mail and it is increditable.

Thus the fact that minorities, etc. seem to be targeted is just a side effect of the traced demographics. Poor white people are just as good a target as any other poor person.

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The thing is, this is similar to companies that hire based on the name (has been proven that such discrimination does occur), or based on zip code (certain zip codes are redlined). The problem is that it would take a ton of testimony and research to prove it and the burden would be on you for such a claim.

Yes, I agree that JDB's and banks target those who do not have the knowledge or resources to put up a fight for judgments just like they target those same people for rip-off subprime mortgages and loans, even if they would be eligible for a prime loan.

This does not mean however that you can use that to get out of a judgment. That is why I say, prove your own case and leave the discrimination stuff to those who can handle is (such as the ACLU).

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Well, I can mention a couple of incidents from a personal view! When I was first out of high school, I started working with a finance company in the big "town". It was set up right on the main street where people walked from their homes to the nearby businesses. It was also set up across from the courthouse and next to the parking lot for the courthouse. All was made very convenient and I thought at first, it was a very "nice" place that offered help to the nearby residents - very "mom" and "pop" like . . . I thought!

As I worked there, I then started "hearing" the gimmicks being discussed from the very friendly manager to the other legmen as they ran in and out of their booths setting up loans for these needy people. One I remember, was an older black gentleman that wanted to purchase a lawn mower that the company had repossessed from someone else. Yes, they even had things like that parked out front to get business. The manager set up a payment plan for the man and then was snickering at how much the lawn mower was going to actually cost in the long run and was laughing when he left at his mental capacity for not realizing it! I wondered though if that was really the case or was it that the man just really was in need of the lawnmower and was so desperate that he'd take the ragged deal! Anyway, he left with a smile on his face and the manager bent over double laughing when he left!

Then I remember, the discussion of another black family that came in to get a loan. It wasn't a big loan, but I remember the excitement of the manager when they came in. They had them behind the glass booth and the loan officer was going back and forth getting commands from the manager. The manager said to be sure and give them the loan and then go to their house to write up items for the collateral and to make sure to make one of the collateral items, the big grandfather clock they had in their house as he had seen it and wanted it! He said to write up anything that looked good to add as collateral. It didn't matter that the loan was small, just put down a lot of the stuff for collateral and because they were desperate - they would agree to the loan! He worked the numbers for the loan in a way that he felt that they would not be able to pay the loan and he would get the clock!

Then I remember a white woman that was struggling financially and had a loan and also had a teenage daughter . . . needless to say, when they came in - I could "see" something going on between the manager and the daughter and when they left - he told me of the fringe benefits he got from that loan!

I was also told that part of the reason they were set up across from the courthouse was where it was "easy" for them to file their papers when people defaulted!

You talk about a sleazeball company - every day, I felt shell shocked as to what I was hearing. I had put up with the manager and his son and one of the loan officers running me around the office, but I was embarrassed to say anything as the manager I had thought was an acquaintance of a family member. Boy . . . was I stupid or what? :rolleyes:

I thought I had to take what they were dishing out to me - but, I could not stand to see what was happening with the "loans", yet I realized that as low down and dirty as the deals were - as long as the people were coming in and accepting the conditions, there was nothing I could do . . . but, I couldn't be part of it, so I quit!

Then I remember a car loan that had gotten a couple of payments behind and lo and behold, the man in "charge" who I had dealt with before, started calling me and wanting to meet me in private with a promise that he would be able to "fix" things!

So, you wanna ask me if women or minorities are targeted? :roll: Actually, even after all that I saw and heard, I still can't actually pinpoint that it's women or minorities - but, I will say that yes, I believe companies will take advantage of people that find themselves in desperate or unknowing situations!

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