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Simple English definitions for legal terms

predatory lending

Read a random definition: CID

A quick definition of predatory lending:

Predatory lending is when a lender takes advantage of a borrower by giving them unfair or abusive loan terms. This often happens to people who are elderly or have low incomes. Examples of predatory lending include not telling the borrower important information, charging very high interest rates or fees, and pricing the loan based on how risky it is. Predatory lenders want the borrower to fail and not be able to pay back the loan. Laws have been made to try to stop this from happening.

A more thorough explanation:

Definition: Predatory lending is when a lender takes advantage of a borrower by imposing unfair or abusive lending terms. This often happens to people who are elderly or have low incomes. Examples of predatory lending include:

  • Not telling the borrower important information or lying to them
  • Charging very high interest rates or fees
  • Using risk-based pricing to make the loan harder to pay back

These actions, either alone or together, make it more likely that the borrower will not be able to pay back the loan and will default. Predatory lending is illegal and there are laws to protect borrowers from it.

Examples:

Example 1: A lender tells an elderly person that they need to take out a loan to pay for home repairs. The lender doesn't tell the person that they could get a grant to pay for the repairs instead. The lender charges a very high interest rate and fees. This is an example of predatory lending because the lender didn't give the borrower all the information they needed to make a good decision.

Example 2: A lender offers a loan to a person with a low income. The lender tells the person that they can only get the loan if they agree to pay it back in a very short amount of time. The lender knows that the person won't be able to pay back the loan in that amount of time. This is an example of predatory lending because the lender is setting the borrower up to fail.

These examples illustrate how predatory lenders take advantage of vulnerable people by not giving them all the information they need to make good decisions and setting them up to fail by imposing unfair terms.

precedent | Predatory pricing

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MIAMI A
[] AromaticTroubledDormouse
20:55
How does one know if they are UR1 or UR2?
[] AromaticTroubledDormouse
20:56
CONGRATS MACAQUE!
TY
got a random stanford email and almost had a heart attack
ALSO CONGRATS!
Congrats1!
21:15
Miami A, yall I'm so excited I could cry.
21:15
Feel like I can finally stop holding my breath!! Whew!!!
[] baddestbunny
22:16
every time I get accosted by a strange man who follows me around because my male coworkers were too busy talking to walk me back to my car I get closer to saying we need to bring back traditional gender roles
Dkk
22:32
Nice! @Macaque
Dkk
22:32
@Aromatic, Have to guess.
Dkk
22:33
That sucks @Bunny do you have to go to the hospital?
[] baddestbunny
22:40
I said accosted not assaulted
23:35
guys. my notre dame address just went long is this good or bad
1a2b3c4d26z
23:37
Oooooo me too
23:37
omg is this good or bad
Dkk
23:47
Idk if gender roles are gunna fix that then.
23:49
it looks like most people who applied in october last cycle didn't get a decision until january... does it even mean anything that our addresses went long??
hows ED 2 compared to ED 1?
Dkk
0:10
No idea
windyMagician
0:34
reporting live to say my ndls address also went long
does it mean anything ^
Dkk
2:21
NDLS and Fordham took a very long time last year. It's good info for people to know.
[] baddestbunny
4:29
let’s get after it boys and girls
Dkk
5:21
I gtg to bed soon.
Dkk
5:22
Big day today. Gunna be a crazy one. I will sleep through the first half.
good morning lsd it is 5 am EST
also jazzy my ndls address went long ages ago i sadly do not think it means anything
my stanford address also went long LOL i think at most it's an indicator it's under review
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