The reasonable financing rules broadly prohibit two types of discrimination: disparate therapy and disparate effect.

The reasonable financing rules broadly prohibit two types of discrimination: disparate therapy and disparate effect.

In certain circumstances, both theories may use. Disparate therapy takes place when a lender treats a customer differently due to a characteristic that is protected. Disparate therapy ranges from overt discrimination to more subdued variations in treatment that may damage customers and will not should be inspired by prejudice or even an intent that is conscious discriminate. The Federal Reserve has made many referrals into the U.S. Department of Justice amscot loans app (DOJ) involving treatment that is disparate prices where bank employees charged greater fees or interest levels on loans to minorities than to comparably qualified nonminority customers. Continue reading “The reasonable financing rules broadly prohibit two types of discrimination: disparate therapy and disparate effect.”