KPIX E is reporting that some San Francisco taxi drivers are receiving letters from a credit union demanding full repayment of balloon loans on their taxi medallions.
The drivers said they cannot afford to make the payments.
The loans were originated by San Francisco Federal Credit Union, which had the exclusive right to fund the purchase of taxi medallions. These loans were later sold as participation interests to other financial institutions.
Read the story.
Perhaps they should have read the promissory note first before borrowing? Just a thought.
ReplyDeleteperhaps lenders have a responsibility to put the member/customer's best interest first and tell them the deal?
ReplyDeletesince the broker, attorney, regulator didn't do their job perhaps the lender should have?
even if these weren't immigrants trying to make a living with less than perfect mastery of the English language and lending laws, responsibility....
just a thought.
I don't think the borrowers had a problem accepting the loan proceeds. Easy money.
ReplyDelete