Well Fargo & Co., has come under allegations about redlining in Philadelphia. Redlining is when a bank refuses loans or only offers higher rates for people in one area and is a practice that started back in the 1930’s. Redlining is not illegal if done for reasons of a neighborhood not being up to current standards but is illegal if done due to racial makeup. The City of Philadelphia says that, Wells Fargo, has been giving ethnic residence higher rates of their mortgages and refusing to refinance them in the future between 2004 and 2014.
Philadelphia says that they studied Wells Fargo clients with credit score of 660 or higher and saw that African Americans were twice as likely to receive a higher interest rate than their white equals and Hispanics were 1.7 times likely to receive higher interest. Along with once they wanted to refinance they were typically denied which usually lead to foreclosures. The City of Philadelphia is upset about this because of the lack of equality in the United States fifth largest city with a 43% of them being African American and 12% being Hispanic. Also, they believe this practice is bring down the property values in the city due to all the foreclosures. But this is just one of the problems being faced by Wells Fargo, they are still fighting the scandal about the creation of fake customer accounts so they can meet their sales goals. Along with other lawsuits. Wells Fargo has denied that they have been redlining in Philadelphia.
Karl Heideck is an attorney practicing law in the Philadelphia area and focusses on civil litigation, compliance and risk management. He is currently working with the law firm of Grant & Eisenhower PA. Karl Heideck graduated from Temple University was a J.D in law and was on the Dean’s List. He received his Bachelors of Arts in English Language and Literature/Letters at Swarthmore College in 2003.
Karl Heideck has developed skills in legal writing, legal research and corporate law. Karl Heideck has worked with multiple companies like Conrad O’Brien and Pepper Hamilton before he ended in his current position. Karl Heideck has served in many positions throughout his career like Project Attorney and Contact Attorney. He has more than a decade in legal experience and has practiced in other states other than Philadelphia for insistence Delaware. Currently, Karl Heideck focusses on a wide range of things like compliance consulting, product liability, and tenacious representation.