Which scenario would most likely constitute a Fair Housing Act violation based on familial status discrimination?
Correct Answer
B) Refusing to lend to families with children under 18
Familial status under the Fair Housing Act protects families with children under 18 and pregnant women. Refusing to lend to families with children is direct discrimination based on familial status and violates the Fair Housing Act.
Why This Is the Correct Answer
Familial status under the Fair Housing Act protects families with children under 18 and pregnant women. Refusing to lend to families with children is direct discrimination based on familial status and violates the Fair Housing Act.
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A mortgage borrower's employer verification reveals that the company was incorporated just two weeks before the loan application, and the borrower claims to have worked there for two years. This discrepancy most directly impacts which BSA/AML component?