Posted on 10/16/2023 9:58:40 PM PDT by SeekAndFind
The Biden administration has warned U.S. banks and other financial institutions that they can't reject illegal immigrants' credit applications based solely or predominantly on their immigration status.
The Department of Justice (DOJ) and the Consumer Financial Protection Bureau (CFPB) said in a recent statement that rejecting illegal immigrants for credit cards and various types of loans just because they are noncitizens is unlawful.
The two agencies stated that they were issuing the warning "because consumers have reported being rejected for credit cards as well as for auto, student, personal and equipment loans because of their immigration status, even when they have strong credit histories and ties to the United States and are otherwise qualified to receive the loans."
Specifically, the agencies cited the provisions of the Equal Credit Opportunity Act (ECOA), which protects credit applicants from discrimination based on such characteristics as race, religion, sexual orientation, and national origin.
The agencies argue that protections afforded by ECOA and other laws extend to alienage, so banks that have blanket policies to deny loans to illegal immigrants may be breaking the law.
“Lenders should not deny people the opportunity to take out a loan to buy a home, build their businesses or otherwise pursue their financial goals because of unlawful bias and without regard to their actual ability to repay,” Assistant Attorney General Kristen Clarke of the DOJ's Civil Rights Division said in a statement.
“Fair access to credit is crucially important for building wealth and strengthening household financial stability,” CFPB Director Rohit Chopra said in a statement. “The CFPB will not allow companies to use immigration status as an excuse for illegal discrimination.”
Bud Cummins, a former U.S. attorney, objected to the agencies' warning to banks and other financial institutions.
"DOJ and CFPB tell banks it might be illegal to refuse to loan money to people [who] broke federal law to reach the bank. You gotta be kidding me. The invasion of illegal immigrants is intentional and must be stopped," he wrote on X, formerly known as Twitter.
According to the Center for Immigration Studies, there were roughly 11.35 million illegal immigrants residing in the United States as of January 2022.
The agencies said that ECOA protections extend to alienage, although in a joint statement, they acknowledged some gray area, namely that the act "does not expressly prohibit consideration of immigration status."
Some financial institutions have maintained blanket policies denying people credit based on their immigration status, without regard for their ability to repay, interpreting ECOA in a way that they believe shields them from liability, according to the agencies, which added that this is incorrect.
"A creditor may consider an applicant's immigration status when necessary to ascertain the creditor's rights regarding repayment," the agencies said, explaining that Regulation B, a rule that implements ECOA, expressly states that the only conditions under which immigration status may be considered is only to determine creditors' "rights and remedies regarding repayment" of a loan.
If financial institutions consider immigration status for any other reason, the agencies said they're probably breaking the law.
"Creditors should be aware that unnecessary or overbroad reliance on immigration status in the credit decisioning process, including when that reliance is based on bias, may run afoul of ECOA's antidiscrimination provisions and could also violate other laws," the agencies said.
The "other laws" mentioned could refer to the 1866 Civil Rights Act, also known as Section 1981, which the agencies said in their joint statement "has long been construed to prohibit discrimination based on alienage."
They said that courts have found that "ECOA's prohibition of national origin discrimination and Section 1981's prohibitions complement one another and that discrimination that arises from overbroad restrictions on lending to noncitizens may violate either or both statutes."
It's unclear whether any banks or financial institutions intend to challenge the DOJ and CFPB's interpretation of the law regarding the provision of loans to illegal immigrants.
Sogh
[Sogh]
what?
I hear the underwriters are behind until the next election.
My mother-in-law is a little old lady living in a little village house somewhere in Asia — somewhere where no US bank will ever find her.
She’s about to get a credit card (thanks to me). Whether she’ll pay it or not I have no idea. It will be difficult, however, as she’ll never know about it.
Thanks in advance, Uncle Sam and remember, as Biden says, “Don’t reject loan apps from illegals”. If you reject her, she’ll cry to the press (with my help, of course).
You’re a tax-paying slave who doesn’t know how to work the system and they’re not.
Don’t be confused: your job isn’t to whine; it’s to PAY for those rims and that truck.
Follow the money trail and ye shall find the truth.
Why wouldn't the banks give loans to illegal immigrants? This is simple. Make a condition of all loans to everyone (avoid claims of discrimination) be having direct deposit to the bank from any "job" with payment on the loan coming from the direct deposit. Guaranteed money for the banks. How will this work?
(1) Illegal immigrants have no expenses. The government pays for everything: housing, food, medical, transportation, etc.
(2) Illegal immigrants will get guaranteed jobs -- I'm expecting lots of do-nothing government jobs will be coming down the pike.
(3) That means the banks are going to basically be paid by the government.
Why will this happen?
(1) This will lock down the illegal vote for the Dems. (If anyone thinks illegal immigrants won't be voting, they have not been paying attention to the scam that is our voting system.)
(2) This will generate a lot of money for the banks. The net result will be stealth bailouts for the banks. Guess where some of that money will go?
(3) If some rare banks don't want to "play ball," the government will go after them for "discrimination." So most will "play ball."
The entire scam is a win-win for corrupt politicians, banks, and illegal immigrants. The only people who will get screwed are American citizens. The politicians, banks, and illegals of course do not care about that.
The whole thing stinks. Expect it will happen though.
LOL you’re correct
I have to be rhetorical, heh
Next the dictate will include, no job, no credit history no problem. Give them the money OR ELSE. FOAD demented old man.
The 11 MILLION figure is complete bullcrap.
The real number is closer to 65 MILLION & they are breeding more babies as I type this.
IF the BIDEN FAMILY CORRUPTION GROUP want to make loans to them-—go ahead.
BUT MY savings used to make loans to ILLEGAL INVADERS who have no means to repay is NUTS.
THEY WALKED HERE TO INVADE
THEY RODE ON TOP OF TRAINS TO INVADE
THEY PAID COYOTES TO BREAK THE LAW & INVADE
THEY DID NOT COME IN WITH PROPER ID or other papers or with money.
IF they have the ability to repay-—they would have FLOWN HERE-—NOT WALKED.
TRUMP IS BEING RAKED OVER THE COALS FOR THE VALUATION OF HIS ASSETS—— HARD ASSETS THAT CAN BE SEEN-—FELT-—IDENTIFIED and PROVEN.
AG’s out of control in NEW YORK are trying to completely destroy a successful person they hate-—WHO PAID BACK EVERY PENNY-—
AND THEY NOW WANT BANKS TO GIVE “LOANS” to ILLEGAL INVADERS???
WHAT PROOF OF ANY KIND EXISTS OF WHO THEY REALLY ARE???
NO SOCIAL SECURITY NUMBER
NO RECORD OF ASSETS IN ANOTHER COUNTRY FOR COLLATERAL
NO WORK HISTORY
NO RECORD OF SKILLS WITH WHICH TO PAY MONEY BACK
NO ADDRESS THAT IS ACTUAL OR PROVABLE
WHO IS GOING TO INVEST IN BANK STOCKS OR KEEP THEIR MONEY THERE IN SAVINGS ?????
OBAMA SAID HE WANTED TO LEVEL THE PLAYING FIELD-—
DO KENYANS GET TO HAVE LOANS WITH NO PROOF OF ABILITY TO REPAY???
THIS IS DESTRUCTIVE ON SEVERAL LEVELS.
IMMEDIATE ACTION BY USSC NEEDS TO STOP THIS.
I remember in same time period:
A PICKER for harvests got a loan for $650,000 to buy a house in Fresno, Calif.
He MAY have been part of the Bracero program.
NEVER paid a single payment & house was foreclosed on 6 months later.
Had other non-citizens living there who were itinerant farm workers. House had plenty of damage. NOT sure there was any insurance coverage for that.
WITH THAT THOUGHT-—WHAT INSURANCE COMPANY IS GOING TO INSURE THE PROPERTY BOUGHT WITH THE LOAN???
OR ARE THESE JUST “LOANS”-—NOT FOR PURCHASING ANYTHING???
We are being replaced, we area threat to thier control
But El Supremo commands it, law or no law.
A brand new Ford truck costs close to $100,000
Illegals... Non citizen, never paid into this country.... Don’t know who they are.. Get freebies.. And citizens, having a hard time in Biden run country are ignored.. Veterans removed from housing and given to illegals.
This ain’t gonna work!!!
Family in El Paso said it was a war zone there last week.
We are set up for terrorist attacks..
Are you folks okay with this?
All the while, they are still after Trump.
The hordes of h ll have descended on our country.
The administration.. Judges.. Courts.. Have lost all senses..
When this country began and people came by ship from Europe and other places.. This is what the law was then.
Name of ship and every person aboard, is still in records today. On that record is..
Name
Name of every person with them
Where they came from
Their occupation
Who is meeting them in the US
What and where they will work.. No freebies
It worked for all these years.
Put a left socialist.. Who has no respect for what we have and who we are.
And in 3 years they have taken America and made it into a place I don’t recognize..
Destroyed by the hands of a foreigner and a senile.
BTW.. The foreigner came on the scene and now has 5 mansions
The senile has accumulated $$$$
How well did the rest of us fare?
Yeah last I saw was $75,000 and that was a few years ago. Yikes.
It was a $100,00 truck.
25 yo w a family, no social skills no clue how to operate in polite society no English no obvious revenue source 100 k truck.
Fascism — Democrat flavor.
Banks can decide who and why folks get loans. The govt has no say, sorry Joe.
With banks starting to fail more and more, this does not seem like a recipe for success.
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