21st Mortgage, a New York-based mortgage lender, finds itself embroiled in a series of lawsuits alleging predatory lending practices, unfair debt collection tactics, and consumer protection violations. These ongoing legal battles raise concerns about the company’s conduct and potential harm to borrowers.
| Complete Date | Case | Citation | Court | Short Summary | Status |
|---|---|---|---|---|---|
| June 2019 | Tatick v. 21st Mortgage Corporation | N/A | U.S. District Court for the Central District of California | Allegations of repeated, harassing phone calls for debt collection, even after requests to stop. | Ongoing Class Action |
| October 2021 | Price v. 21st Mortgage Corporation | N/A | U.S. District Court for the District of Maryland | Accusations of unfair lending practices: excessive fees, targeting low-income borrowers, and loan term misrepresentation. | Ongoing Class Action |
| January 2018 | New York Department of Financial Services v. 21st Mortgage Corporation | N/A | New York Supreme Court | Claims of deceptive advertising, inaccurate loan disclosures, and consumer protection law violations. | Settled for $1.5 million |
| July 2023 | Unnamed Plaintiffs v. 21st Mortgage Corporation | N/A | N/A | Allegations of misrepresenting and selling unnecessary insurance policies to borrowers without proper consent. | Ongoing Class Action |
Additional Concerns: Beyond these lawsuits, numerous consumer complaints point to poor customer service, loan processing delays, and unfair mortgage modifications.
Impact of the Lawsuits: These ongoing legal battles cast a shadow over 21st Mortgage’s practices and raise concerns about borrower protection. Potential consequences include significant financial penalties, forced changes in practices, and even industry-wide reforms.
21st Mortgage’s Response: The company denies all allegations and defends its compliance with relevant laws and regulations.
Future of the Lawsuits: The outcome of these lawsuits will be closely monitored by borrowers, consumer advocates, and the financial industry. A negative verdict for 21st Mortgage could significantly impact the company’s future and potentially lead to stricter regulations in the mortgage lending industry.
Important Note: This is not an exhaustive list of all legal issues surrounding 21st Mortgage. Borrowers with concerns about their loans or impacted by any of the discussed practices should seek legal counsel.
