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Wall Street march participants include (L-R): Dennis Hayes, NAACP; John Taylor, NCRC; Rev. Jesse Jackson, RainbowPUSH Coalition; Marc Morial, Urban League; and Leslie Cagan, United for Peace and Justice.
Also see: “Foreclose on George Bush!”
NEW YORK (Dec. 10, 2007)
Rev. Jesse Jackson’s Statement at the December 10 March on Wall Street
Today our country faces a foreclosure crisis brought on by reverse redlining and abusive sub-prime lending. This crisis could bring on an economic tsunami where millions of homeowners face the loss of everything they've worked for. It's not just a domestic economic disaster, but now the crisis is being globalized and destabilizing the world markets.
We must defend our economic rights. We demand justice for the victims of this massive financial scam. We must bailout the individuals who were exploited, not just the corporate giants who did the exploiting. The crisis started on Wall Street, and Wall Street firms must step up not step back - and become part of the solution not just to save themselves, but also to save the American Dream of home ownership and homeowners around the nation.
Some say the sub-prime mortgage crisis is just a ripple in our massive economy and will correct itself. But it's not just a ripple for the estimated 2.2 million Americans who will lose their homes and approximately 164 billion dollars in equity. It's not just a ripple for America 's cities and towns where, in ten states, the aggregate loss of tax revenue will equal $6.6 billion in 2008 alone. The resulting decline in property values and taxes will undermine public services and the ability to fund infrastructure, and place our states and cities at risk.
President Bush’s plan is too little, too late, and covers far too people - only around 840,000 of the over 7 million people with sub-prime mortgages. The Bush plan deals only with those who are current on their payments, and leaves those most at risk out in the rain. There is no recourse for those who have already lost their homes.
The crisis has hit African Americans and people of color the hardest. These communities were targeted and steered into sub-prime loans that lenders knew consumers could not afford. 30% of loans made to African Americans were "higher cost loans," as compared to 17% for whites. For refinances, over 52% of loans to African Americans were "higher cost loans." In NY, Blacks were twice as likely to be steered to sub-prime loans: 46% of loans to Blacks were "high cost loans" 21% to whites. 39% for Latinos.
Bold thinking is required to stave off this impending economic tsunami, a plan to freeze and restructure loans, and not repossess and foreclose on homes. Voluntary action is not enough. It's time for another government sponsored Marshall Plan to protect America 's homeowners.
There must be a comprehensive bill regulating the sub-prime loan industry. And we support the NAACP's historic class action lawsuit against the sub-prime lending industry for practices that target qualified African Americans for predatory loans.
As we fight for government legislation and in the courts, we must press for a solution today that allows people breaking under the financial pressure of these loans to keep their homes. The crisis that started on Wall Street, and must include Wall Street as part of the solution.
Today we demand that the lending industry commit to restructuring mortgages for borrowers who are at risk of foreclosure. Not just some, all. We will keep up the fight for economic equality on all fronts. Restructure Loans, Don't Repossess Homes.
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