The TPSeano Series: Potential Increase in Foreclosures if Temporary Protected Status Ends

Before the end of the year the Trump administration will be making decisions on the future of Temporary Protected Status (TPS) designations. This means that the lives of more than 325,000 people—including 250,000 Central American immigrants—now hang in the balance.

In this fourth installment of the TPSeano Series, we look at how ending TPS protections could impact the financial services industry. Our earlier posts in the series discussed the impact on the construction industrywhat temporary protected status is and what is at stake.

Temporary Protected Status foreclosures

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FHFA Takes Key Step to Improve Language Access in the Mortgage Market

Last week, the Federal Housing Finance Agency (FHFA) made a key decision to include a question that asks a borrower his or her preferred language on the updated standard mortgage application. We and our partners in the civil rights community applaud this critical fix to the mortgage application process.

This is how the question will appear on the updated mortgage application:

Updated mortgage application sample

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Four Ways the Community Reinvestment Act Can Be a Stronger Advocacy Tool for Latinos

By Agatha So, Policy Analyst, UnidosUS

Photo: Seattle Municipal Archives

This month marks the 40th anniversary of the Community Reinvestment Act (CRA). This landmark law has ensured fair and affordable access to bank services, credit, and investments for Latinos and low-income communities across the country. The CRA was signed into law to correct widespread discriminatory lending practices, called redlining, that prevented communities of color and low-income communities from qualifying for a home loan. Yet, even today Latino families are denied a mortgage at a higher rate than White families. And we continue to face discrimination when looking for an affordable place to live. Changes are needed to strengthen the law to make it a more effective advocacy tool for Latino communities.

The CRA requires banks to provide services and make credit available to low-and moderate-income communities in areas where they do business. To ensure banks are following the law, every three years their performance is evaluated based on activities including how many home loans they have approved for low-income families and the type of investments they make in low-and moderate-income neighborhoods. Additionally, community members can give their feedback on the bank’s performance directly to the bank or the bank’s regulator.

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Republicans’ New Tax Framework Robs the Poor and Gives to the Rich

By Yuqi Wang, Policy Analyst, Economic Policy Project

Unfortunately for the millions of individuals and families who continue to feel the brunt of stagnating wages, eroded overtime policies, and a flatlining federal minimum wage, the newest tax framework that has been proposed would only make it more difficult for them to make ends meet. The Trump administration and Congressional Republicans’ latest tax reform framework threatens to exacerbate working families’ struggles, providing massive tax cuts to wealthy individuals and corporations disguised as a plan to help the working class.

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Beyond DREAMERS: DACAmented Homeowners Are Here to Stay

By Agatha So, Policy Analyst, UnidosUS

On September 5, the president announced that he would rescind the Deferred Action for Childhood Arrivals (DACA) program. Since 2012, DACA has provided hundreds of thousands of undocumented youth with opportunities to get an education and a good job without fear of deportation. The president’s announcement suddenly placed the lives of nearly 800,000 workers, students, and homeowners in the United States in limbo. Now, gains that these young immigrants were able to make due to the program are in jeopardy.

Homeownership is one of the many gains DACA recipients have achieved since the program began. In a 2015 survey of more than 1,700 DACA recipients, more than half reported getting their first credit card, and 12 percent had a mortgage or had their name on their family’s lease. DACA opened up opportunities for young immigrants to establish a formal record of work and credit history with a social security number, which they used to help them qualify for a loan to buy their first home. For DACA homeowners, their first home purchase was a dream shared by their families, and an important step towards financial stability and building family wealth.

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CFPB’s Final Payday Rule is Released!

By Marisabel Torres, Senior Policy Analyst, Economic Policy Project, UnidosUS

We’re happy to be sharing some good news this week. UnidosUS is joining our advocacy partners in celebrating the Consumer Financial Protection Bureau (CFPB)’s release of their final payday rule!

Payday loans are loans in which the lender repays itself directly from the borrower’s bank account on the borrower’s payday. These loans are typically due in one lump sum. With a car title loan, the lender requires the power to immediately seize and sell the car as collateral, and uses this power to coerce payment.

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Nearly One Million Less Latinos in Poverty in 2016, but the House Republican Budget Would Undermine Gains

By Renato Rocha, Policy Analyst, Economic Policy, UnidosUS

In the last year of the Obama Administration, Latinos made considerable progress across a range of economic indicators. The 2016 income and poverty data released by the U.S. Census Bureau yesterday showed that despite a number of remaining long-standing inequities, there were many bright spots for the Latino community. In total, about one million Latinos were lifted out of poverty last year. This isn’t just good news for the Latino community, it is good news for the nation. Latinos are over 56 million strong and contribute to our nation’s overall economic well-being.

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Will You Be Impacted by the IRS’s Second Round of ITIN Renewals?

By Yuqi Wang, Policy Analyst, UnidosUS

It may feel like tax season just ended, but the IRS is already thinking ahead to next year’s tax filing deadline. The agency recently announced their second round of Individual Tax Identification Number (ITIN) renewals, and we urge all affected taxpayers to renew their ITIN without delay.

Like the renewal process last year, the taxpayers who will need to renew their ITINs are individuals who have not used their ITIN on a tax return in the last three years, and those who have specific middle digits in their ITINs that the IRS is looking for.

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The Republican Budget: Robin Hood for the Wealthy

By Amelia Collins, Policy Analyst, UnidosUS

The House and Senate are set to return to the nation’s capital next week after a month-long recess and an ambitious agenda awaits them. Funding for the federal government runs out on September 30, and neither chamber has voted on a complete funding package for fiscal year 2018. Even though the House passed four of 12 spending bills before breaking for recess, they included $1.6 billion for the construction of a border wall, which has little chance of passing in the Senate.

What’s at stake in the upcoming budget debate? Overall spending levels for FY18. Under the Budget Control Act of 2011, sequestration returns this upcoming fiscal year. That matters because the House-passed “security bus” blew through the cap for defense spending to the tune of $72 billion.

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