Tag Archives: Home Equity Line of Credit

Fifth Circuit Interprets Texas Constitution, Upholds Variable Rate Home Equity Loan

On July 22, 2010, the Fifth Circuit affirmed a Western District of Texas opinion in favor of a lender and loan servicer in a lawsuit brought by mortgagors who alleged that the terms of their home equity loan violated the Texas Constitution. Cerda v. 2004-EQR1 LLC and Barclays Capital Real Estate Inc., — F.3d —-, 2010 … Continue reading this entry

Home Equity Line of Credit Reduction Cases on the Rise

There have been a number of lawsuits throughout the country this past year arguing that lenders have unlawfully suspended or reduced home equity lines of credit (“HELOCs”). Although the theory underlying these cases find its genesis in the recent declines in the real estate market, one court has already permitted a claim to proceed. Under … Continue reading this entry