Fair Housing
The Home Mortgage Disclosure Act (HMDA) requires lenders to:
AApprove all mortgage applications regardless of credit quality
BDisclose data about mortgage applications by geographic area, race, and other demographics to detect potential discrimination✓ Correct
CProvide free credit counseling to all declined applicants
DOffer special interest rates to protected class applicants
Explanation
HMDA requires financial institutions to collect and publicly disclose data about mortgage applications, approvals, and denials by geographic area and borrower demographic information. This data is used by regulators to detect potential patterns of lending discrimination.
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