Items Tagged with 'Redlining'

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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  • Minnesota's KleinBank accused of discriminatory lending

    DOJ accuses bank of redlining minority neighborhoods
    Minnesota-based KleinBank excluded minority neighborhoods from its service area for all banking services and engaged in discriminatory lending, the Department of Justice claimed in a lawsuit filed late last week. According to the Department of Justice, none of KleinBank’s branch locations in the Minneapolis-St. Paul metro area is located in a minority neighborhood, a practice known as “redlining.” The bank denies the DOJ's allegations.
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  • Two Ohio-based banks settle "redlining" allegations

    Will invest $9 million in minority communities in Ohio and Indiana
    A pair of banks based in Ohio must begin increasing mortgage lending in minority neighborhoods in certain areas of Ohio and Indiana as part of a settlement with the Department of Justice, which accused the banks of “redlining.” The DOJ defines redlining as a “discriminatory practice by banks or other financial institutions of denying or avoiding providing credit services to consumers because of the racial demographics of the neighborhood in which the consumer lives.”
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  • Steven Mnuchin's OneWest Bank accused of redlining

    Bank once owned by candidate to lead Treasury accused of discriminatory lending
    The bank formerly owned by one of the leading candidates to head up the Department of the Treasury in President-elect Donald Trump’s administration violated federal fair housing laws by redlining minority neighborhoods and engaging in discriminatory lending practices, according to two housing advocacy groups.
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  • BancorpSouth fined $10.6 million for discriminatory lending, redlining

    CFPB, DOJ accuse bank of having "explicitly discriminatory denial policy"
    BancorpSouth will pay $10.6 million to settle charges against the bank by the Department of Justice and the Consumer Financial Protection Bureau, which accused the Mississippi-based bank of redlining and discriminatory lending practices. The agencies accused BancorpSouth of a number of discriminatory practices, including illegally redlining in Memphis, and implementing an "explicitly discriminatory loan denial policy."
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  • First Federal Bank of Kansas City reaches $2.8 million settlement for redlining

    Bank accused of excluding minority neighborhoods from lending service area
    According to the Department of Housing and Urban Development, First Federal Bank of Kansas City allegedly redlined several neighborhoods where the majority of the residents are African-American, thereby limiting residential mortgage lending to persons based upon their race, which is a violation of the Fair Housing Act.
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  • CFPB, DOJ fine Hudson City $27M for mortgage discrimination violations

    Largest redlining settlement in history
    Hudson City Savings Bank will pay more than $27 million in mortgage subsidies and outreach programs for unequal access to mortgage credit in Black and Hispanic neighborhoods. The Department of Justice said the action by it and the Consumer Financial Protection Bureau is a reminder that the two will not tolerate racial discrimination in the extension of credit.
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  • Wells Fargo victorious in Chicago-area predatory lending lawsuit

    Judge dismisses claims brought by Cook County
    Wells Fargo secured a victory in court Friday, when a U.S. District Judge dismissed a lawsuit brought against the lender by Cook County, Illinois, which accused the bank of predatory lending. Cook County accused Wells Fargo of steering minority borrowers into higher-priced loans.
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  • HUD: Associated Bank ‘redlining’ settlement largest ever

    HUD Secretary Castro says settlement “sends a strong message”
    According to HUD’s statement, the original complaint against Associated Bank was one of the largest “redlining” complaints brought by the federal government against a mortgage lender, and the $200 million settlement with Associated Bank is the largest of its kind that HUD has ever reached.
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