Fair Housing
A Tennessee mortgage lender who approves a White applicant with a 620 credit score but denies a Black applicant with the same 620 credit score and identical financial profile is guilty of:
ALegal business risk assessment
BDisparate treatment — intentional racial discrimination in lending✓ Correct
CDisparate impact discrimination
DLegitimate risk-based pricing
Explanation
Treating two applicants with identical qualifications differently based on race is textbook disparate treatment discrimination under ECOA and the Fair Housing Act. There is no legitimate business reason for different outcomes when all other factors are equal.
Related Tennessee Fair Housing Questions
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