The Justice Department and Consumer Financial Protection Bureau have filed a consent order to resolve allegations that Provident Funding Associates engaged in a pattern or practice of discrimination. The consent order resolves allegations that Provident increased loan prices for African-American and Hispanic borrowers who obtained residential mortgages between 2006 and 2011 from Provident’s nationwide network of mortgage brokers.
Under the proposed settlement, which requires court approval, Provident will pay $9 million dollars into a fund for the benefit of victims of the mortgage lending discrimination.
The Department of Justice press release has the details.
