Acorn Up Against Foreclosures

July 7th, 2008

From 1999 ACORN has been up against foreclosures emanating from predatory lending. The members of ACORN have tried to spread awareness among the house owners. Protests have been organized against targeted lenders so as to make them change their ways. ACORN has also persuaded regulators to clamp down on some of the worst mortgage houses and banks.

In it annual report of 2002 titled ‘Separate and Unequal’ it had highlighted that the major portion of the mortgage market had been captured by the subprime lenders. It also showed that these loans targeted the low to middle income minority buyers of houses. In its 2006 report entitled ‘The Impending Rate Shock’ a warning had been given out about the impending foreclosure crisis.

ACORN members have been persuading their legislators at all levels - local and national to put into force regulations, that will dam the foreclosure tide and halt predatory lending. There are many ACORN affiliated housing counseling agencies that give free services. Among the myriad services are loan counseling, classes for novice buyers and help through unique lending joint measures. These AHC centres work in tandem with HUD and Fannie Mae backs their offices. Over 50,000 families have been able to own houses thanks to these efforts.

Congress is working with ACORN regarding the anti-predatory lending laws. ACORN had a large say in the passing of the $150 million new funds for foreclosure counseling by the Congress. Out of this $100 million was set aside for the work of prevention of foreclosures. ACORN has been with the legislators for the passing of foreclosure moratoriums in Minnesota, Delaware as well as California. In Illinois, Philadelphia, Cleveland, New York City, Washington, Toledo, Ohio, Wilmington, Boston, Denver, Jackson, Mississippi, Arkansas, Kansas City and other places many of the initiatives taken up for foreclosure prevention had the pressure of ACORN behind it.

In the country it is the largest community organization, which has, its feet planted deep into the roots of the community. Nearly 400,000 families belonging to the middle and low-income group come under its umbrella protection. It makes its presence in 1,200 localities covering 110 cities in USA. ACORN has been creating community groups committed to socio-economic reforms since 1970. Its efforts have often been crowned with success. Its mode of action has been either direct or through negotiation via legal advocacy. Thus it infuses strength in groups that have been bypassed in the democratic system of the country.