A loan team is about to close a file involving fair lending and ECOA — Disparate Impact. Which action should occur first?
Correct Answer
A) Do not discourage applicants on a prohibited basis
fair lending requires equal treatment and credit-related standards without prohibited-basis discrimination. This item uses an exam-style scenario; any file details in the stem are illustrative and the governing rule controls the compliant response. The best answer is "Do not discourage applicants on a prohibited basis".
Why This Is the Correct Answer
fair lending requires equal treatment and credit-related standards without prohibited-basis discrimination. This item uses an exam-style scenario; any file details in the stem are illustrative and the governing rule controls the compliant response. The best answer is "Do not discourage applicants on a prohibited basis".
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