While violent and property crimes against Ohio s seniors are on the decline, a new type of crime is becoming more frequent and garnering increased media attention. It is called predatory lending .
Predatory lending is a form of sub-prime lending.
This practice is legitimate and vital to our economy because it gets people the money they need, while helping rebuild their credit. However, sub-prime lending becomes predatory lending when the lender targets individuals with low or fixed incomes, such as minorities and seniors. Basically, predatory lenders give money to individuals without regard to their ability to repay. Both the individual and the entire community feel this impact. The number of sub-prime loans in the U.S. increased tenfold, from 75,000 in 1993 to 790,000 in 1998, with a significant increase in the number of foreclosures.