Fair Lending: New Emphasis in 2021 and What It Means to Your Institution

Fair lending is always a hot topic, of course, but even more so in 2021. We have a new administration with new priorities and goals, which are already translating into additional requirements and more strict enforcement. Are you keeping up with all the changes that will impact your institution? It is more critical now than ever to ensure your fair lending program covers all the bases. There are new ways of looking at lending patterns, activities, and risks, and new expectations from the agencies.

How is your fair lending program? Have you accounted for these new risks examiners are and will be looking for? This program will help you to understand the extent and particulars of new legislation and regulation, including Regulation B (ECOA), the Fair Housing Act (FHA), and guidance the regulatory agencies (including the CFPB) have introduced recently. We’ll also discuss trends in fair lending and the direction Congress, agencies, and the courts are likely to go in the near future.

The "Fair Lending: New Emphasis in 2021 and What It Means to Your Institution" has been approved for 2.5 CRCM credits. This statement is not an endorsement of this program or its sponsor. Credits are redeemable for Live attendance only. To receive a certificate, email streaming@oncourselearning.com. Certification holders must report these credits at https://aba.csod.com.

Covered Topics

  • Expansion of fair lending priorities and expectations – from Congress as well as the regulatory agencies
  • Prohibited bases under the rules (what you can do, as well), including changes in definitions
  • Evaluating applications and underwriting – what you can and cannot consider
  • Government monitoring information – when to get it and how to handle it
  • Fair lending litigation trends and lessons, including re-emphasis of disparate impact
  • Redlining (including reverse redlining) – what is it, how do we analyze it, and what is new (hint: plenty)
  • “Intrabank” vs. “Interbank” redlining analyses, including the opportunity assessment
  • Digital redlining – what is this and how does it impact your institution?
  • REMA/Marketing Area/Service Area – what is this? What should we do to be ready for our next exam?
  • Dealing with small business loans
  • Treatment of income and other underwriting issues
  • Fair lending issues in the servicing environment
  • Proxies and the BISG method – should we do this?
  • Advertising and disclosing in a foreign language – what are the rules?
  • The future of DFA 1071 – when will we see rules (hint: soon)?
  • CRA as a fair lending tool
  • Developing an effective and comprehensive fair lending CMS
  • “Convergence” with UDAP/UDAAP – what should we do?
  • Consequences for violating the rules - not just fines
  • And more

Plus frequent question and answer sessions throughout this presentation.

Who Should Attend?

Anyone in the institution having virtually any responsibility in the lending process has fair lending responsibilities, from senior management, loan officers, underwriters, and closing agents, to compliance officers, auditors, and attorneys, and would benefit from this valuable information.

"Carl is an excellent teacher.  He mixes just enough theory with practice.  I had some areas explained that I've struggled to explain to the business." -- JoAnn Keith, VP, Compliance, Wells Fargo