Servicers’ Fair Lending Risk Rises With Loss Mitigation, Loan Mods
October 27, 2009
Fair lending experts are warning mortgage servicers to expect discrimination claims based on disparities in loan modification and other workout terms, especially where discretion is involved. anelists at the Consumer Bankers Association’s fair lending conference last week said the regulatory focus is on providing loan modifications to distressed borrowers. There are weaknesses in the process that could pose fair lending risk...