Philadelphia recently accused Wells Fargo of another scandal involving black and Hispanic borrowers. In their complaint, Philadelphia pointed out that Wells Fargo lured black and Hispanic borrowers into riskier loans with higher interest rates than required by the law. For instance, basing on Wells Fargo’s data for the last 10 years, statistics from the bank showed that black borrowers were more than twice as likely to be given higher interest loans as compared to white borrowers. Interestingly, the case comes after another case filed last year linking the firm to bankers opening bogus accounts using names of their clients.
The City claims that 43 percent of their population is made of minority borrowers who risk losing their homes to foreclosure. The city came out to the rescue of the helpless minority borrowers because of the lower property values, higher crime rates and increased frequent incidents of vandalism affecting the city recently. Additionally, Wells Fargo is associated with another scandal involving Bank of America under the Fair Housing Act. According to Karl Heideck, Wells Fargo is redlining and it is illegal because it discriminates against ethnic groups that do not comply with certain standards. However, through a statement by the bank’s spokesman, Wells Fargo denied the charges terming them unsubstantial.
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Karl Heideck is currently a Philadelphian-based attorney who has been listed by Hire Counsel since April 2015. Before joining the Hire Counsel, Karl Heideck served as a project attorney on behalf of Pepper Hamilton LLP. He has a substantial expertise in filing and responding to complaints in the field of general law and personal jurisdiction venues.
Karl holds a Bachelor’s degree in Arts from the respectable Temple University Beasley School of Law. He also graduated from Swarthmore College in the year 2003. Karl Heideck offers law professional services in commercial litigation, corporate law, product liability, and employment proceedings.
Find more about Karl Heideck: http://www.phillypurge.com/2017/05/24/karl-heideck-explains-lawsuit-philadelphia-against-wells-fargo/