The subprime lending industry is facing new scrutiny for allegedly predatory lending practices, as well as an accompanying round of bad publicity.
The Senate Special Committee on Aging is set to hold a hearing today on predatory lending practices in the subprime industry. Sen. Charles Grassley, R-Iowa, chairman of the committee, and Sen. John Breaux, D-La., will be on hand.
The hearing will feature a former employee of a subprime company who will reportedly testify that he was told to talk elderly borrowers into signing loans without adequate information.
On Friday afternoon several television news organizations were said to be preparing stories on the industry to accompany the news of the hearing.
Additionally, a story critical of the industry was scheduled to appear Sunday on "Dateline NBC." Associates First Capital Corp., Dallas, was expected to be featured in the story.