In this series of posts, we address types of fair lending discrimination that are commonly recognized by the regulatory and enforcement agencies. The points covered are risk areas that are often examined in the course of regulatory reviews. Previously, we’ve covered fees and steering. It is critical to bear in mind that fair lending laws and […]
Read More
So you are all prepared to conduct a fair lending analysis. You have determined the focal point(s), to include a product target as well as the prohibited basis and control groups, all of which are topics for another day. Now you are ready to assemble your data and begin conducting the review. In doing so, […]
Read More
In fair lending analysis, one of the most common comparisons is to examine loan files based on race or ethnicity. These classifications are often misunderstood and can be confusing. This is because race and ethnicity are two different things.
Read More
Lending fees represent a major area of risk among forms of fair lending discrimination. In this article, we explore a fair lending analysis of fees.
Read More
In this series of posts, we address types of fair lending discrimination that are commonly recognized by the regulatory and enforcement agencies. The points covered are risk areas that are often examined in the course of regulatory reviews. Today’s entry will cover the unfair practice known as “steering.” It is critical to bear in […]
Read More
After being at record lows for nearly a decade, the Fed has raised interest rates three times in the past fifteen months. Although the current rate of 1% is still historically low, the rate environment has been static up until December of 2016.
Read More
In an upcoming series of posts we address types of fair lending discrimination that are commonly recognized by the regulatory and enforcement agencies.
Read More
In our previous post, we addressed a few frequently encountered issues when using regression methods to conduct a fair lending analysis.
Read More
Evaluating loan application outcomes (approval or denial) in the context of fair lending is referred to as an “underwriting analysis.” Regression modeling is commonly employed in such analyses.
Read More
When conducting fair lending regression analysis of underwriting, we are examining a sample of loan applications that were either approved or denied. The practice is to regress denial (y=1 if denied, 0=approved) on a target group indicator variable and other attributes upon which the loan decision should have been based.
Read More