Fair Housing
A Minnesota lender approves loans for White applicants in a neighborhood but denies loans for equally qualified Black applicants in the same area. This illegal practice is called:
ASteering
BBlockbusting
CRedlining✓ Correct
DPanic peddling
Explanation
Redlining is the illegal practice of denying loans or other financial services to applicants in certain neighborhoods based on race or the racial composition of those neighborhoods. The term originated from the red lines lenders drew around minority neighborhoods on maps. Redlining violates the Fair Housing Act and the Equal Credit Opportunity Act.
Related Minnesota Fair Housing Questions
- A Minnesota property management company uses a tenant screening algorithm that results in 40% fewer approvals for Latino applicants than White applicants with similar qualifications. This may violate fair housing laws under the theory of:
- A Minnesota lender's loan denial letter states 'application denied due to non-traditional background.' A minority applicant believes this is code for racial discrimination. Under ECOA, the applicant can:
- In Minnesota, which federal agency is primarily responsible for enforcing the federal Fair Housing Act?
- The Minnesota Human Rights Act (MHRA) prohibits housing discrimination based on all of the following EXCEPT:
- In Minnesota, 'disparate impact' under fair housing law means a policy may be discriminatory if:
- A Minnesota real estate broker implements a company policy requiring all agents to complete fair housing training annually. This policy:
- A Minnesota homebuilder refuses to sell a home in a new subdivision to a buyer who uses a wheelchair, claiming 'accessibility concerns.' Under the Fair Housing Act, the builder must:
- A Minnesota housing developer posts a sign showing only White families in promotional materials for a new subdivision. This is an example of:
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