MEMPHIS –  Congressman Harold Ford, Jr. (D-TN) today joined dozens of residents, community leaders and partners to announce a new anti-predatory lending initiative designed to protect Memphis and Shelby County homeowners from falling prey to abusive lenders.

At today’s announcement held at the Whitehaven National Bank of Commerce branch, the Federal Home Loan Bank committed $100,000 to help local families combat predatory lending. Specifically, the low-interest, fixed rate and unsecured loans will be available to Shelby County residents for small home improvement.

Qualifying homeowners must be Shelby County residents earning at or below the area median income of $45,840.

“At a time when consumer confidence is waning because of corporate malfeasance, the Federal Home Loan Bank sends a strong signal to unscrupulous lenders: Beware. Congress and legitimate financial institutions are watching,” Ford said.

“I am both encouraged and grateful that these reputable financial institutions are providing an antidote to predatory lending for homeowners who want to stay in Whitehaven and other Shelby County neighborhoods,” Ford said.  “With these funds, no customer will sign away his or her home just to repair the roof.”

Through its Community Investment Program, the FHLBank is funding the initial program rollout with the  $100,000 below-market-rate loan to National Bank of Commerce and United Housing.

Ford is a member of the House Financial Services Committee.