Fair Housing

Under the Fair Housing Act, a Montana lender who charges higher interest rates to minority borrowers with equivalent creditworthiness compared to white borrowers would be engaged in:

ARedlining
BSteering
CDisparate treatment discrimination in lending✓ Correct
DBlockbusting

Explanation

Charging minority borrowers higher rates for the same creditworthiness constitutes disparate treatment discrimination in mortgage lending, which violates both the Fair Housing Act and the Equal Credit Opportunity Act (ECOA). This is a form of predatory lending with serious legal consequences.

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