Economic Indicators
US penalizes mortgage lender Fairway for alleged racial discrimination in Alabama
2024.10.15 16:00
(Reuters) – The U.S. Justice Department and the Consumer Financial Protection Bureau penalized Fairway Independent Mortgage Corporation for alleged redlining in Black neighborhoods in Birmingham, Alabama, the agencies said on Tuesday.
The mortgage lender will pay a $1.9 million penalty and provide $7 million in loan subsidies as a result, the CFPB said in a statement.
“This case is a reminder that redlining is not a relic of the past, and the Justice Department will continue to work urgently to combat lending discrimination wherever it arises and to secure relief for the communities harmed by it,” U.S. Attorney General Merrick Garland said.
