Seattle Press on Line - Home Auction Protested at Phinney Law Office

Home Auction Protested at Phinney Law Office

Patricia Nesbitt (center) says unfair lending practices made it impossible for her to repay her loan.

Oct 04, 2000 -- The scheduled auction of a Central District woman's home was postponed Friday, September 29, as protestors marched in front of a Phinney Ridge law office where the auction was to take place.

Patricia Nesbitt has lived in the house at 929 20th Ave., which she inherited from her parents, for forty years. She has not been able to keep up payments on loans she took out with the house as security.

Nesbitt says she borrowed $88,000 in 1997 to pay of two earlier loans and some credit card debt. But her creditors are now claiming she owes over $140,000 with a payment of $1200 due each month. Nesbitt said her income which she receives from Social Security is $541. She cares for two grandchildren, Paris, 16 and Kenneth, 11.

Nesbitt says she has been unable to find a lawyer who will take her case because "They told me there wasn't enough money in it for them, and we don't have any laws to regulate these loan companies."

The original loan has been sold two or three times and is now being collected by Advanta, a Pennsylvania company.

Nesbitt's case is being publicized by Washington ACORN (Association of Community Organizations for Reform Now), an advocacy group that organizes around housing issues.

A dozen or so ACORN members joined in the demonstration at attorney Karen Gibbon's office September 29 at Phinney Avenue North and North 64th Street.

ACORN has charged the lending companies with predatory practices including excessive interest, hidden fees and charges, and making larger loans than the borrowers can afford to pay back.

Gibbon told the demonstrators the sale had been postponed for a week and referred all inquiries to Advanta.

An Advanta spokesperson said the sale was postponed for a week "so we could take a look at the loans and make a decision on how to proceed."

Nesbitt, who suffers from emphysema, marched in the demonstration pulling a portable oxygen tank. She lost a son to cancer last week. She said she has no plans to move out of her house.

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