'Slumlord' Buffett's "Disturbing Business Model" To Be Probed By Feds
Submitted by Mike Krieger via Liberty Blitzkrieg blog,
He walked them through Clayton-built homes on the lot, then into the sales center, passing a banner and posters promoting one subprime lender: Vanderbilt Mortgage, a Clayton subsidiary. Inside, he handed them a Vanderbilt sales pamphlet.
“Vanderbilt is the only one that finances on the reservation,” he told the women.
His claim, which the women caught on tape, was a lie. And it was illegal.
In minority communities, Clayton’s grip on the lending market verges on monopolistic: Last year, according to federal data, Clayton made 72% of the loans to black people who financed mobile homes.
The company’s in-house lender, Vanderbilt Mortgage, charges minority borrowers substantially higher rates, on average, than their white counterparts. In fact, federal data shows that Vanderbilt typically charges black people who make over $75,000 a year slightly more than white people who make only $35,000.
Through a spokesperson earlier this month, Buffett declined to discuss racial issues at Clayton Homes, and a reporter who attempted to contact him at his home was turned away by security…
She continued to raise concerns, writing in an email to Clayton’s director of marketing that when she spoke to new borrowers, “there were many things they were not made aware about during the sale.”
Managers and executives, she said, dismissed her concerns; she recalled one replying, “It doesn’t really matter as long as we get the money.”
– From the post: How Warren Buffet’s Clayton Homes Intentionally Targets & Preys Upon Minorities and Poor People
Yesterday, four members of Congress sent a joint letter to both Richard Cordray, head of the Consumer Financial Protection Bureau, and Loretta Lynch, Attorney General of the United States, demanding an investigation into predatory practices at Warren Buffett’s mobile home unit Clayton Homes.
Reuters reports:
A letter on Tuesday from Representative Maxine Waters, the top Democrat on the House Financial Services Committee, and fellow committee members Michael Capuano, Emanuel Cleaver and Keith Ellison called on the Justice Department and the Consumer Financial Protection Bureau to “pursue appropriate corrective action” against Clayton.
Clayton did not immediately respond on Wednesday to requests for comment on the letter, which the Seattle Times reported earlier.
Buffett did not immediately respond on Wednesday to a email request for comment sent to an assistant.
Yes, he was too busy eating ice cream cones and saving puppies from burning buildings to be bothered.
At Berkshire’s annual meeting last May, Buffett said he made “no apologies whatsoever” about Clayton’s “exemplary” lending, in response to a question about an earlier Seattle Times story saying that Clayton trapped borrowers into unaffordable loans on depreciating homes.
You can read the full letter below.
Of course, I don’t think for a moment that any real repercussions will actually befall Warren Buffett or his companies. He is one of the most powerful and influential oligarchs in America. In the absence of a total economic collapse, it would be inconceivable and highly unlikely that the government could or would go after this man, because in so many ways this man is the government.
Take that serfs.
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If they are using credit scores as their basis, then A-As will pay higher rates than whites.
Uncle Warren didn't just start being a piece of shit, he has always been one.
In the case of clayton homes (low cost) or anyone for that matter, I would imagine your rate is going to depend on your credit score more than how much money you make. You can make $75k and still not pay your bills. Not saying this is the case but looking at annual salary alone doesn't give you the whole picture. Having said all that, you know they are targeting dumb people that aren't financially savvy and I am sure what they are doing is illegal.
So the guy who buys Timberline boots at Nordstroms should be able to sue because Walmart sells them for $75 less?
Seriously?
No, telling people that they only have one option to make a "reservation" was illegal.
Repost from i-dog: something I have never forgotten - especially item #d. Oh yes, and if you don't own your patch of dirt, well then Warren Got Ya!
"Some advice from my own parents and grandparents which has served me well ... YMMV:
a. Never own the property you live in unless you plan to rent it out later after moving elsewhere.
b. Never sell a property -- just add more to your portfolio when you can afford it.
c. Don't over-spend on renovations -- what suits you may just be demolished by the next owner.
d. Remember, a house is a depreciating pile of rubble sitting on an appreciating patch of dirt."
http://www.zerohedge.com/news/guest-post-how-housing-affordability-can-f...
So what's the problem?
Liberals tell us that we need to cater to blacks because they're generally dumber than White America and we have to feed them like zoo critters, (well, they never SAY that, but it's what they mean), so that's what ol' Warren does.
Warren just uses the better off blacks to subsidize their less fortunate brethren.
This is perfect Socialism in action. So what's the problem?
Please don't confuse the issue with unnecessary obfuscation.
"Socialism" is when you order a steak and the waiter gives it to the dog.
"Fascism" is when you order a steak and the waiter eats the steak. ... But everyone calls it "Socialism" or "Communism" when the waiter gives the scraps to the dog ... but what we have is even worse than "Fascism" because then the waiter expects the dog to give him back the steak, plus expects you to pay for another steak because obviously the dog cannot return a steak.
If the dog got the whole steak minus one bite for you, and if the dog was not expected to pay for the steak, that would be old-fashioned Communism / Socialism. What we have is much worse.
... and if we want to add our current-day "Capitalism" into the mix, that would be the Chef who believes he's in a "free market" and yet, despite providing one hundred steaks per week to everyone else, still can't afford to eat one himself ...
this is the guy before whom blankfein knelt. he wouldn't dignify the plebs w/his own middle finger - he'd direct lloyd to order hillary to give us hers...
He just didn't pay enough in camgaign contributions.
"Necessitous men are not, truly speaking, free men, but, to answer a present exigency, will submit to any terms that the crafty may impose upon them."
F D Roosevelt to Congress January 1944; a second Bill Of Rights:
...{the first Bill Of Rights} They were our rights to life and liberty.
"As our nation has grown in size and stature, however—as our industrial economy expanded—these political rights proved inadequate to assure us equality in the pursuit of happiness.
We have come to a clear realization of the fact that true individual freedom cannot exist without economic security and independence. "Necessitous men are not free men."[3] People who are hungry and out of a job are the stuff of which dictatorships are made.
In our day these economic truths have become accepted as self-evident. We have accepted, so to speak, a second Bill of Rights under which a new basis of security and prosperity can be established for all—regardless of station, race, or creed. ..."
Roosevelt was actually quoting from a decision in a well-known 1762 English legal case.
The guy is really, really bad; total scum!!!
http://beforeitsnews.com/alternative/2012/05/human-sacrificing-satanist-...
This SOB just bought part of MidFlroida Credit Union. I wonder how long it will be before the Credit Union implodes.
"Necessitous men are not free men."[3] People who are hungry and out of a job are the stuff of which dictatorships are made."
I guess he proved his point.
HUD housers and EBT eaters .... are fat and sassy .... more trouble than the really poor .... the working and tired poor of da world ?
No. They are being screwed, too. It's the systems they have put in place. These little cases here and there are a distraction from the bigger system, a massive land grab.
https://www.youtube.com/watch?v=uHsz2oNWiDc
Jobs and entry level housing .... scarce .... there are many ways to skin (tax) .... the middle class cats ?
No matter what you are selling - you charge stupid people more - because they will agree to pay you more.
I don't think they charge black people more - because they are black -
Blaming the victim. You're such a sop, buying into the msm hype.
So you want government to determine selling prices on everything?
Jim Clayton must be smurking due to never having drawn official fire for the preditory financing and collection practices used by his former company for decades.
He's not only laughing all the way to the bank, having sold to buffet, he is laughing in the bank created bearing his name with proceeds from the sale of clayton homes.
Is this where your mortgage is sold to a trust, which then sells it to investors in $25,000 pieces, so that you never get a free clear title, once your loan is paid-off?
https://www.youtube.com/watch?v=xhHPJTHRgOI
(Get the last half hour if you don't have time for the whole thing)
When Congress receives an increase in their bribery income the Mainstream Media Oligopoly will cease these stories about Uncle Warren. He has nothing to fear regarding the Injustice Department and the Federsl Bureau of Inforcers as long as the bribery money continues flowing to the political parasites.
Buffett has lost a bundle on IBM and he has to be losing a bundle on his oil trains. Clayton was a slime-ball outfit before Buffett was involved, but nice to know he is going for the trifecta.
Ye Olde and Corrupted Tricky Dicky Nixon Programming
something about mary "warren", owes much of his fortune to taxpayers, profiting on his connections to government corrupniks and their bailouts / wealth transfers and his/our pravdalike media.
he's not big on competition either, changing the rules to up the entry, and pulling up the ladder behind him
Poor Obama, he's just not responsible for anything he does.
It's everyone else making him do bad things.
He's just a "puppet"............
What a great way to keep racial tensions stirred up while pretending to have the back of "the little guy".
.
Do blax with the same credit scores as whites pay more? If not, STFU.
TBTF
Oligarch
Lord of Rings (ring leader)
Coca Cola world polluter , climate change , killing the planet