Anyone with a real estate license of any type has been asked on exams about “redlining”. I thought that this practice was a thing of the deep past. Nope.
The U.S. Department of Justice announced a $31 million settlement with City National Bank over allegations that the Los Angeles-based bank engaged in “redlining” – a pattern of lending discrimination – in Los Angeles County.
The settlement, which according to the DOJ is the largest redlining settlement in the department’s history, will benefit individuals and communities impacted by the discriminatory practice, the DOJ announced on Thursday.
Redlining, a discriminatory and illegal practice, is when lenders withhold services from customers who live in low-income neighborhoods, disproportionately impacting communities of color.