Items Tagged with 'discriminatory lending'

ARTICLES

  • Minnesota's KleinBank reaches settlement with DOJ over redlining allegations

    Bank will expand service area to include certain minority neighborhoods
    The Department of Justice and Minnesota-based KleinBank reached a settlement agreement covering charges that the bank excluded minority neighborhoods from its service area and engaged in discriminatory lending. Now, despite continuing to disagree with the government’s claims, the bank is settling with the DOJ in order to move forward.
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  • Judge rules Cook County can pursue part of predatory lending lawsuit against Wells Fargo

    County can pursue federal Fair Housing Act claims against bank
    This week, a federal judge ruled that Cook County, Ill. can pursue federal Fair Housing Act claims as part of its lawsuit against Wells Fargo, which accuses the big bank of predatory mortgage lending targeting black and Hispanic borrowers in the Chicago area but the judge dismissed several other claims alleged by the county.
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  • Sacramento sues Wells Fargo over lending discrimination

    Lawsuit accuses bank of targeting minority borrowers with high-cost loans
    For the second time in less than a year, a major city is suing Wells Fargo for alleged discriminatory lending practices against minority borrowers. Last year, the city of Philadelphia sued Wells Fargo. Now, Sacramento is suing Wells Fargo as well for allegedly steering minority borrowers to high-cost loans.
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  • Court of Appeals hands Wells Fargo victory over Los Angeles in fair housing lawsuit

    Appeals upholds lower court’s dismissal of discriminatory lending suit
    Wells Fargo may be facing a lawsuit from the city of Philadelphia over alleged discriminatory lending practices against minority borrowers, but a federal Court of Appeals just handed the bank a victory in a similar lawsuit brought by the city of Los Angeles back in 2013.
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  • Philadelphia sues Wells Fargo over discriminatory lending

    Cites recent Supreme Court decision that gave cities right to sue lenders
    Earlier this month, the Supreme Court ruled that cities have the right to sue banks over discriminatory mortgage lending practices, but the ruling established a standard that might be tough for the city in question to prove. Now, the city of Philadelphia is taking that challenge head-on and suing Wells Fargo for alleged discriminatory lending practices against minority borrowers.
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  • Supreme Court rules cities can sue banks for predatory lending

    Hands partial victory to Miami in suits against Bank of America, Wells Fargo
    The Supreme Court handed down a landmark ruling, stating that cities can sue banks for discriminatory mortgage lending practices, but cautioned that the burden of proof could be difficult to achieve. The ruling stems from a lawsuit brought by the city of Miami, which sued Bank of America, Wells Fargo and Citigroup in 2013, stating that the banks engaged in predatory lending to minority borrowers in the city.
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  • CFPB proposes amendments to Equal Credit Opportunity Act

    Gives new flexibility on collecting ethnicity and race information to align with HMDA
    The Consumer Financial Protection Bureau announced it is reassessing the Equal Credit Opportunity Act in order to provide lenders with additional flexibility when collecting consumer ethnicity and race information. The new proposal looks to clarify, through rulemaking, the parts of Regulation B that seem to conflict with Regulation C requirements on collecting this information.
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  • JPMorgan Chase officially reaches $53 million settlement for lending discrimination

    Wholesale lending brokers accused of charging higher rates to minorities
    Confirming reports that began to emerge last week, JPMorgan Chase officially reached a settlement with the Department of Justice over allegations that the bank’s brokers charged higher interest rates to minority borrowers than white borrowers in the run-up and during the financial crisis. Initial reports pegged the settlement amount at $55 million, but the actual settlement amount is slightly lower, checking in at $53 million.
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