Wednesday, April 8, 2015

Report: Oregon CUs Poor Record of Mortgages to Low-Income Borrowers

A report analyzing Oregon credit unions’ mortgage lending found the industry made 11,775 home mortgage loans in 2013, but less than one percent – 96 mortgages - went to low-income households.

Credit unions were granted non-profit, tax-exempt status in order to serve persons of “modest means,” but recently released Home Mortgage Disclosure Act data is calling that mission into question.

According to the report,
  • Of the 11,775 mortgages originated by Oregon credit unions last year, less than one percent – 96 mortgages - went to low-income borrowers - less than one percent. 14 percent went to moderate income; 53 percent went to middle income; 32 percent went to upper income.
  • Oregon credit unions made 18 mortgage loans on homes of $1 million or more. OnPoint Community Credit Union, the state’s largest credit union, made four mortgage loans on homes of $1 million or more.
  • Oregon’s five largest credit unions averaged only one percent of their mortgage originations to low-income individuals.
  • There were seven Oregon credit unions that originated loans to ONLY upper income individuals.

Read the report.
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2 comments:

  1. AnonymousApril 10, 2015 at 2:31 AM

    Just for comparison:
    What was the % approved vs applied?
    What is the comparison for banks?

    "There are lies, damned lies and statistics"
    - Mark Twain

    ReplyDelete
  2. AnonymousApril 10, 2015 at 8:35 AM

    Credit unions are chartered to make small loans to people of small means thru small local institutions. For this, they receive a exemption from federal tax on income.
    Congress, 1934.
    Banks pay taxes and make MORE loans to low income peeps.
    NOW you can use your Mark Twain quote.

    ReplyDelete

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