Jan 6, 2014
More than 400 former homeowners in Maryland are being sued by their old mortgage banks, even after the banks foreclosed on their homes. In most states, banks can sue to garnish wages for the difference between the loan balance and the foreclosure value. And the banks can charge interest.
Isn’t it enough to take away someone’s home? But in tens of thousands of cases around the country, the banks also make this extra nasty move.
It’s obvious: under capitalism, home lending is not done to let people have homes. No, private banks are in the business of competing for profit before anything else. Squeezing thousands of dollars from working people who already lost their home is just part of their business model.