Taxi medallion owners from across the city have been streaming to the Dutch Kills headquarters of the New York Taxi Alliance since Monday, Sept. 19, to file the necessary paperwork that will free them from the crushing debt that caused many of their co-workers to commit suicide in recent years. More than 3,000 are qualified under the Taxi Medallion Relief Program forged by the city, the NYTWA and Marblegate, the lender which owns the most active taxi medallion loans.
The program restructures taxi medallion loans so that they are backed by the city in case of default, have a maximum principal balance of $170,000 and have a maximum interest rate of 7.3%. Currently, the average medallion-owning driver is currently in $500,000 worth of debt, often in predatory lending agreements, and in constant fear of losing their homes if they don’t make their payments.
