MEMPHIS, TN (abc24.com) - Wells Fargo is giving Mid-South home buyers a break.
In a matter of weeks homebuyers can apply for down payment assistance to the tune of $15,000. It is part of the settlement between Memphis, Shelby County and Wells Fargo.
“We anticipate at least 300 families will be able to participate in this program to buy a house. That's going to translate to about 30 million dollars in first mortgage lending,” said Tim Bolding of United Housing Inc.
Wells Fargo gave the city and county more than seven million dollars after being sued for predatory lending.
The bank was accused of charging thousands of black and Latino borrowers higher fees than whites, and pushing minorities into costly sub-prime loans.
As for assisting those borrowers, said Thomas Patronis with Wells Fargo, "We need to certainly provide financial assistance in the form of literacy programs," but admitted there were no tangible provisions for them.
Four and half million dollars of the settlement money is earmarked for down payment assistance. The City and County are using the rest of it to clean up blight.
“We the City and the County will do our part to make sure once you become a homeowner we're going to continue fighting the blight to protect your investment,” stated Memphis Mayor A C Wharton.
Applicants will have to meet an income requirement and take homeownership classes.
Wells Fargo will hold homebuyer workshops November 30 and December 1 at the Cook Convention Center. For more information, visit www.helpingmemphishomebuyers.com