American Bank of Oklahoma has settled with the Department of Justice (DOJ) after violating the Fair Lending Act by engaging in illegally discriminatory lending practices in majority Black and Hispanic neighborhoods in Tulsa. The DOJ’s investigation revealed that American Bank had systematically steered away from lending to these communities, determining eligibility for loan products based on race or originating location rather than creditworthiness.
Under the agreement, American Bank has committed to provide an estimated $500,000 in loans and services to the impacted direct and indirect victims of its discriminatory practices. Moreover, they are to establish an outreach program to increase access to credit within minority communities that have been denied access in the past. In taking these steps, American Bank has taken a positive step to address their unscrupulous lending practices and affirm their commitment to serve all communities equally.
Key Points:
– American Bank of Oklahoma settled with the DOJ after engaging in discriminatory lending practices in majority Black and Hispanic neighborhoods in Tulsa
– American Bank has committed to allocate an estimated $500,000 in loans and services to the affected victims
– They have also set up an outreach program to increase access to credit within minority communities denied access in the past
You can read this full article at: https://www.housingwire.com/articles/american-bank-of-oklahoma-settles-redlining-case-for-1-5m/(subscription required)
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