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Couple says mortgage companies guilty of predatory lending scheme

WEST VIRGINIA RECORD

Sunday, December 22, 2024

Couple says mortgage companies guilty of predatory lending scheme

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Mortgage

FAYETTEVILLE – A Fayette County couple is suing a local bank and its national affiliates for charges surrounding an alleged predatory lending scheme.

Jennifer McMillion and Gustavia Crowder filed a lawsuit in Fayette Circuit Court against Decision One Mortgage Co., LLC; Solution One Mortgage, LLC; Mark Greenly of Green Tree Servicing, LLC; and The Bank of New York in a joint venture over alleged illegal loan servicing, fraudulent appraisals and breach of professional standards.

The plaintiffs arranged to buy a friend's house in 2006 for the agreed upon price of $66,000. They then filed for a loan and had the house appraised by Green Tree Servicing, LLC, who rendered the house to be worth $67,000. The suit alleges that the plaintiffs, who were unsophisticated in finance, entered into an adjustable rate loan with a starting debt of $59,400 and an initial interest rate of 11.29 percent that could adjust up to 17.29 percent. They allegedly later found out the house at the time of purchase was worth only $46,000.

The plaintiffs request the loan be declared void. They also are seeking payment for the damages equal to what they have paid, attorney and court costs, and any other relief the court may deem just. They are represented by Sarah K. Brown of the firm Mountain State Justice Inc. in Charleston.

Fayette Circuit Court case number 15-C-205

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