Cleveland Bad Credit Home Loans Lawsuit vs Chase, Goldman Sachs, Countrywide and Bear Stearns Rejected

Posted on | July 28, 2010 | No Comments

Cleveland, Ohio has seen many troubles when it comes to a struggling economy and bad credit home loans.  In 2007, has four of the top 21 zip codes when it comes to foreclosure rates and over 7000 foreclosures were filled in that one year alone.  In 2008 the city decided to take matters into their own hands as they filed lawsuits against some of the big banks offering bad credit loans.  These banks included but were not limited to JP Morgan Chase, Goldman Sachs, Countrywide and Bear Stearns.  It is important to recognize that Countrywide and Bear Streans no long exist.

Recently, judges of the US Court of Appeals rejected the idea that these big banks were at fault for the high number of foreclosures during the credit crisis.  For those scoring at home, that would be Wall Street 1, City of Cleveland 0.  There are many other cities that continue to file lawsuits against major lenders including Baltimore, Chicago and Memphis.  It will be interesting to see if Wall Street can continue to win these battles as judges have stated that borrowers are at fault as well as the banks.

Author: Mike Garner

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