Lenders looking for a U.S. Supreme Court decision on the legal theory of disparate impact in lending discrimination cases will have to wait until another case reaches the nation’s highest court to get clarity. And that could take months – even years, if at all.
Unless the U.S. Supreme Court steps in, the Consumer Financial Protection Bureau will continue to view disparate impact as the appropriate legal theory to use when working on lending discrimination cases against banks.
The CFPB left the grace period open-ended and most in the industry interpreted that to mean that it will last throughout the rest of 2015, at least. Unfortunately, as welcome as that grace period is, TRID remains a costly and complicated fix that has enormous implications for the whole industry..
“Bad letters damage the brand,” Katherine Porter says. “There’s a contagion effect of this. I think bad letters are unjust. They disproportionately harm the borrowers we need to help the most.” Read More