NYCYellowCabTaxi.com is a private blog about New York City Yellow Cab Taxis and is not affiliated with the New York City Taxi and Limousine Commission
  • Home
  • Book a Ride
  • Lost and Found
Toll Free: +1-800-609-8731

NY House Dems call on city to bail out thousands of cab drivers suffering because of taxi medallion ‘crisis’

Posted by NYCYellowCabTaxi.com on July 28, 2019
Mouhamadou Aliyu with his cab on Thursday. (Barry Williams/for New York Daily News)

With thousands of struggling New York City yellow cab drivers like Mouhamadou Aliyu desperate for a bailout, elected officials on Thursday quarreled over who should pay for it.

Aliyu, 47, emigrated from the Ivory Coast to New York in 1994 in hope of a better life. Now, thanks to plummeting yellow cab medallion values and predatory lending practices, he’s $700,000 in debt and often considers killing himself.

“I’m under water. I can barely survive,” said Aliyu, who bought a taxi medallion for $370,000 in 2004. “We are asking for relief because we really have nothing to do with all this suffering, but we’re the ones who are paying the price.”

New York House Democrats sent a letter to city officials on Thursday demanding they solve the problem by helping to pay off the debt of medallion owners like Aliyu. “We strongly encourage you to explore ways to provide much needed monetary assistance to relieve the thousands of medallion holders stuck in high interest loans with tremendous balances,” the letter says.

The group of House Democrats said the woes faced by thousands of yellow cab drivers is the city’s fault.

That’s because the city promoted medallions as secure investments and collected taxes on their sales — even amid worries inside city government that medallions were overpriced. A city Taxi and Limousine Commission policy analyst wrote a five-page memo in 2011 saying the quick rise of medallion prices from 2003 to 2010 outpaced the taxi industry’s growth.

As Uber and Lyft expanded, yellow cab medallion prices plummeted. On top of that, the House Democrats’ letter notes, “unscrupulous lenders” took advantage of the situation, making millions in the process.

Aliyu — a father of four — said he’s missed the last three payments on his loan, which ballooned over the years after he purchased new taxi cars and took out money using his medallion as collateral. Aliyu said the unregulated rise of Uber and Lyft has cut into his customer base, making it even more difficult for him to pay off his debt.

“Whenever I talk about this the first thing that comes to my mind is suicide,” he said.

Suicide rates among city cab drivers have soared in recent years. In 2018 alone, eight cabbies took their own lives amid taxi medallions crashing in value.

Mayor de Blasio, who was looped in on the House Democrats’ letter, said the city cannot afford the expense of bailing out the cabbies.

The mayor also noted that the federal government had the authority to crack down on lenders who preyed on medallion buyers — a power the city does not wield.

“Even the folks who are pro-bailout acknowledge it’s billions of dollars to begin,” the mayor said. “It’s just literally a budgetary impossibility. We can’t do it unless we want to cut back on schools or cops or fire or something else. We cannot do it.”

The mayor further argued that the federal government has “almost limitless resources” that could be used to bring some relief to medallion owners.

The suggestion from Capitol Hill was spearheaded by Brooklyn Rep. Nydia Velázquez and signed by nine other local representatives, including House Democratic Caucus Chairman Hakeem Jeffries. 

In 2014, dozens of taxi medallions sold for upwards of $800,000. Some went for more than $1 million each. Since 2018, not a single medallion has sold for more than $500,000.

The 10 New York Congress members said medallion owners need relief from the city that betrayed them.

“In addition to ensuring that lending practices are improved so that this crisis does not worsen, we need to take action now for the thousands of drivers who are facing financial ruin,” the lawmakers wrote.

Councilman Ydanis Rodriguez, who chairs the Transportation Committee and co-chairs the city’s “Taxi Task Force,” said he welcomes “any suggestion” to help medallion owners.

“I also will welcome an effort from members of the congressional delegation to help bring funding from the federal government to help this situation,” Rodriguez said.

Velázquez countered that the only tenable long-term solution is for the city to help drivers out financially.

“These medallion holders, many of them immigrant New Yorkers, were sold a bill of goods, mortgaging their futures after being told a medallion was a certain ticket to the middle class,” the congresswoman told The News.

“Now, that the bottom has fallen out, we’re seeing them drowning in debt. The city profited off these medallion auctions handsomely and has a moral incentive to help.”

You may also like

  • NYC Taxi Cab Drivers Sue over Wheelchair AccessibilityNYC Taxi Cab Drivers Sue over Wheelchair Accessibility
  • The Medallion Crisis Is So Bad That Taxi Drivers Are on a Hunger StrikeThe Medallion Crisis Is So Bad That Taxi Drivers Are on a Hunger Strike
  • The Appeals court ruled that the city can monitor taxis with GPSThe Appeals court ruled that the city can monitor taxis with GPS
  • Westchester Taxi and Car ServiceWestchester Taxi and Car Service
  • Sikh Cabbie Says Passengers Attacked Him, Ripped Turban off His HeadSikh Cabbie Says Passengers Attacked Him, Ripped Turban off His Head

Leave a Reply

Your email address will not be published. Required fields are marked *


Drivers Lounge

Previous Next All

Darneyi Amar: Please )!! I Need Jobs Guíve to Me The Esqueyule Waht You Can.Mi Number Phone Is 929 328 7797 Thank You)!!!

Jordan: Taxi to the library and thank you

jordan: taxi to lincoln and thank you

Rachid: I am looking for Sunday double 347-867-2729

Carswell mickeu: I need a cab to queens rn call me ASAP 9294138446

GUSTAVO E CABREJOS: need to buy a wav yellow car call me at 9179452616

Taxi Not Using meter: The taxi number 2A53 is not using meter. He may get the money in his pocket. I am happy to share with you the photo of proof the driver not using meter.

Taxi 1c37 is trying to charge cash instead of credit: Taxi driver is trying to charge more for a ride between Manhattan and JFK about 90 USD

Jhon Doe: Uber was allowed to operate in NYC because technically was a car service company not a taxi,but now they want cab crivers to accept uber requests, it was a plan for the very beginning and we all knoe the master of it,I have been driving for 30 years and do not need help finding my fares.

Akmaljon: Hi I’m looking weekly yellow cab for rent (732-570-6005) thanks

Syed: Looking for night shift.Jackson heights area . Call me 7183161091

Waqas ahmad: Looking for yellow cab night shift Brooklyn sheepshead bay

Islam: : I want to buy Medelion please call6469432652

Harbans lal: 2 drivers wanted for NYC Taxi Mediallion Lease. If interested, please call me for information at (347) 819-7073.

Mr S: Looking to buy usd taxi let me know if you have one thanks

Salaheldin: I’m looking for 2021hybrid yellowcab for weekly or day shift lease

1 (718) 210-7378: Toyota Prius day shift available in Jamaica by Liberty Avenue and Vanwyck. Lease $400 shift 5am-5pm Car Pick and drop at my location. If anyone interested text to 1 (718) 210-7378 1 (718) 210-7378

Mr T: Looking to buy wave van let me know if anyone selling

Sultan mehmood: I need job sir I am working in Dubai as a texi driver 4 years +971586597209

I am henok: My name is henok I am 24 years old active driver and any one can dm me on watsapp +251931539562

»




Recent Comments

  • Bust a nut: “A police detective? ha, lmfao. That’s double talk. You ain’t sxxx”
  • mohammed kamal hossain: “i worked with his company as a taxi driver. Most time our credit money which paid by customer trip fare…”
  • Faye: “Rode taxi this morning at 5:30 to LaGuardia Airport from Sheraton Time Square, the driver did not turn on his…”
  • Port Transit: “That’s scary!”
  • Thomas: “Is anybody recording the fact that yellow cabs pay 2 to 3 times more than Uber and Lyft and congestion…”
  • amigurumi free patterns: “LYFT IS TEAMING UP WITH AUTOMATIVE INDUSTRY GIANT, MAGNA DEVELOP SELF DRIVING CARS AND GETTING $200 MILLION”
  • Elena M Thomson: “GREED IS A DEADLY SIN. SIN =DEATH. BE FAIR.”
  • Cabbie: “Bey Bey Mr Freidman,All that is on earth will perish, the essence of your Lord, the Master of glory, splendour…”
  • CARLTON L LUNDIE: “I am 79 years old i was planning to sell my medallion 3years ago . My medallion is with a…”
  • jimmy: “who can help organize all the divers in the city?…..call me 929-435-1456 jimmy”
  • jimmy: “Why we don’t have a trustworthy union?…….is anyone on earth who can help us to organize in a good union?…..call…”
  • toplu sms: “nice car 🙂 I like it”
  • dan: “who invented the human trafficking ?…. New Your City?…..write me back for comments! to email”
  • CreditCardCabbie: “What kinds of support cabdrivers are getting from the NYC Taxi and Limousine Commission to drive the new Tesla yellow…”
  • rafael brito: “I had a friend and his wife with corona virus and I sent them some wormwood with instructions on how…”
  • James John: “This is the nice work”
  • Jose H Reynoso: “I had TLC license for more than 20 years: But this year expired because. I’m applying for a new one…”
  • acaustralia: “Assurance Cover Australia was established in response to the rising cost of insurance in the point to point transportation industry.…”
  • Casey hogan: “I did pass three times on cash cab test”
  • brother f: “You are a yellow cab driver. Uber would want nothing more than to see you destroyed. The drivers for those…”
  • pok: “I m a police detective,….and i watch you closely! if you don’t keep your mouth shut,I will destroy you ,….!!”
  • DAVE SANCHEZ: “NEVER MIND THE BAILOUT GETTING READY UBER & LISP, THERE IS YOUR CORONAVIRUS KILLING OUR COMMUNITY, MY BROTHERS!!!! KEEP ON…”
  • Jimmy: “call me 929 435 1456 Jimmy”
  • Pedro herrera: “Hello would you please have Esteban contact me re a pink card i gave to him as a form of…”
  • Pedro herrera: “Hello would you please have Esteban contact me re a pink card i gave to him as a form of…”

You may also like

  • NYC Taxi Cab Drivers Sue over Wheelchair AccessibilityNYC Taxi Cab Drivers Sue over Wheelchair Accessibility
  • The Medallion Crisis Is So Bad That Taxi Drivers Are on a Hunger StrikeThe Medallion Crisis Is So Bad That Taxi Drivers Are on a Hunger Strike
  • The Appeals court ruled that the city can monitor taxis with GPSThe Appeals court ruled that the city can monitor taxis with GPS
  • Westchester Taxi and Car ServiceWestchester Taxi and Car Service
  • Sikh Cabbie Says Passengers Attacked Him, Ripped Turban off His HeadSikh Cabbie Says Passengers Attacked Him, Ripped Turban off His Head

INFORMATION

  • Home
  • Reserve NYC Taxi
  • Lost Property
  • NYC Taxi Phone Number
  • Frequently Asked Questions
  • Contact

OTHER

  • Drivers Wanted
  • New York Car Service
  • Medallions for Sale or Lease
  • Brooklyn Car Service
  • JFK Airport Taxi
  • Refund Request
  • Satisfaction Guarantee

FOLLOW US

  • New York
  • Brooklyn
  • Queens
  • New York Airports
  • JFK Airport
  • LGA Airport
  • Newark Airport

Footer Logo




© 2022, NYCYellowCabTaxi.com ™. All rights reserved | Privacy Policy | Terms of Services | Disclaimer
NYC Yellow Cab Taxi Lost and Found Service helps increase your chances of recovering your lost property that was left behind in a taxi cab. NYCYellowCabTaxi.com is a private blog about New York City Yellow Cab Taxis and is not affiliated with the New York City Taxi and Limousine Commission. Individual results may vary