Lending to Minorities May Decline as Regulators Push Tougher Rules, But DOJ Still Ups Fair Lending Ante
June 2, 2011
The Department of Justice has stepped up its fair lending enforcement initiatives and more cases are anticipated in the future, but with them comes a dilemma, according to industry sources. The DOJ currently has five lawsuits pending against lenders and several investigations, a DOJ insider said. The official said cases involve redlining, wholesale pricing, product steering and retail pricing. Wholesale issues and broker fee cases are likely to continue popping up, the source said. The other big development for 2011 is going to be the...