I'm a business owner in Tennessee and after much research have realized that I definitely have a predatory lending case against Amsouth/Regions bank. According to a new state law passed last year what they have done is illegal. This is a snippet from The Memphis Daily News:
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The Tennessee Home Loan Protection Act (THLPA) was passed by the state legislature in May. It is directed at making borrowers aware of the high-cost mortgage loans typically associated with predatory lending.

As of the first of the year, borrowers will be protected from such practices as balloon payments, which are defined as large, lump-sum payments scheduled at the end of a series of considerably smaller periodic payments.
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I have a home equity line of credit set up with a balloon payment described above. They've managed to extract over $10,000.00 over the last 5 years on interest and finance charges alone-the orig debt was $26,000.00-thats almost half the loan in interest and finance charges.

My 2nd case is a line of credit they sold to FIA, a 3rd party company that is still affiliated with Regions. Un-wittingly they changed interest rates and how they handle cash advances which in 3 years made them a wopping $10,000.00 in interest and finance charges alone to carry an average debt of $8,000. By the time I fought them the debt was $14,000.00 and they had raised my credit line. A week of fighting and lawering up got a settlement of $7000.00

I want to sue Amsouth/Regions for predatory lending practices which has resulted in my business on it's way out and a huge tax bill. I know I have a case.

My Q is how to I go about suing them without it costing me a fortune in lawer fees. Can I defend myself? Any advice is greatly appreciated.

Hello raped:

I don't know. But, that's never stopped me before...

Uhhh, you can't be the only guy. And, you'll NEVER win on your own. I don't mean to diminish your legal skills or your enthusiasm, but they have tons and tons of lawyers on their side...

But, I'll bet there are class action suits against these people getting underway as we speak. I'd start looking by googling - maybe call a few lawyers in your area? Certainly, these attorneys are looking for plaintiff's like you. It can't be too hard to hook up with one.

Or, I could be full of crap.

excon

If you "know you have a case," then hire a lawyer. When you win the law says you can recover "reasonable" attorneys feees. From:
Department of Financial Institutions -Tennessee Home Loan Protection Act (http://www.tennessee.gov/tdfi/THLPA/index.html)

Private Right of Action (THLPA, Section 11): Creates a private right of action for violations of the THLPA; contains a 3 year statute of limitations; allows for actual damages, statutory damages for willful or intentional violations, punitive damages for malicious or reckless violations as well as costs and reasonable attorney's fees; and, requires notice of any civil action under the THLPA be given to the Department of Financial Institutions.

It depends, there are 1000's of ballon payment loans and just being a ballon loan does not make them illegal.

So if you "KNOW YOU HAVE A CASE" hire an attorney and sue them.

I would say a lot of it has to do with proper notification of interst and terms at the start of the loan,

And to be honest there si nothing to be protected from on a ballon loan if everyone was aware of it going in.

In fact they are one of the more common non traditional loans. I have used dozens for purpose of fliping homes over the years

Can you defend yourself, not a chance, the banks will have 5000 dollar a day attorneys just to prove you don't have a case.