Ameriquest, city to meet on foreclosure problem

Mayor Thomas M. Menino said yesterday that executives of Ameriquest Mortgage Co. have agreed to meet with city officials to discuss lending practices in Boston.

The announcement was made as Menino unveiled a city program to help homeowners faced with foreclosure. Menino said he is seeking commitments to a $25 million loan rescue fund from a number of area banks. The city launched a foreclosure-prevention campaign that includes credit education, foreclosure intervention, and lobbying for state legislation to protect borrowers. He said he is looking to some of the lending companies for help.

''If you're part of the problem, you need to be part of the solution," said Menino.

He said the top lender issuing foreclosures in Boston is ACC Capital Holdings, Ameriquest's holding company. Ameriquest, one of the biggest lending firms in the country, has been accused repeatedly of predatory lending practices aimed at the elderly, minorities, and low-income people. In January, the company signed a settlement agreement with 49 states, costing it $325 million in restitution to borrowers.

Asked about gubernatorial candidate Deval L. Patrick, who sits on the board of ACC, Menino, who is supporting Attorney General Thomas F. Reilly in the race, said only that the company is cooperating with his efforts to aid people faced with foreclosure.

The Globe reported yesterday that 58 Boston homeowners have had their properties seized this year, nearly as many as in all of 2005, according to the city's Department of Neighborhood Development.