Bank to pay Minnesota man $12,000 and change its policy on Social Security payments
WASHINGTON, DC – January 23, 2013 – (RealEstateRama) — The U.S. Department of Housing and Urban Development (HUD) announced today that Bloomington, Minnesota-based U.S. Bank National Association will pay $12,000 to a loan applicant with disabilities under a Conciliation Agreement settling allegations that the bank required him to provide unnecessary documentation to establish he would continue receiving disability income for three years before they would approve his mortgage loan.
TheÂ Fair Housing ActÂ makes it illegal to discriminate in the terms and conditions of a loan based on a personâ€™s disability, including by imposing different loan application or qualification criteria.
“Holding persons with disabilities to a different standard because they rely on disability-related income violates the Fair Housing Act,” said John TrasviĂ±a, HUD Assistant Secretary for Fair Housing and Equal Opportunity. “Reasonable income standards are a necessary part of the underwriting process but HUD will continue to take action when these practices are discriminatory.”
A Roseville, Minnesota man filed a complaint with HUD alleging U.S. Bank asked him to provide proof that his disability income, including Social Security Supplemental Security Income (SSI), would continue for three years. The applicant submitted documentation from the Social Security Administration as part of his mortgage application. Additional documentation was not needed because Social Security award letters without expiration dates establish continuity of income for three years.
Under the terms of the Conciliation Agreement, U.S. Bank agreed to pay the man $12,000, accept SSI award letters as establishing at least three yearsâ€™ income, and refrain from requiring applicants receiving disability income to provide doctorsâ€™ statements concerning the nature, severity, or duration of a disability.
HUD’s mission is to create strong, sustainable, inclusive communities and quality affordable homes for all.
HUD is working to strengthen the housing market to bolster the economy and protect consumers; meet the
need for quality affordable rental homes: utilize housing as a platform for improving quality of life; build
inclusive and sustainable communities free from discrimination; and transform the way HUD does business.
More information about HUD and its programs is available on the Internet at www.hud.gov and
http://espanol.hud.gov. You can also follow HUD on twitter @HUDnews, on facebook at
www.facebook.com/HUD, or sign up for news alerts on HUD’s News Listserv.
- BANK OF AMERICA AGREES TO PAY MORE THAN $160,000 TO SETTLE MATERNITY DISCRIMINATION CLAIM
WASHINGTON, DC - June 11, 2012 - (RealEstateRama) -- The U.S. Department of Housing and Urban Development (HUD) announced today that Bank of America has agreed to pay up to $161,180 to settle allegations that one of the bank's San Jose, California branches refused to refinance the mortgage of an Irvine woman because she was on maternity leave. HUD reached...
- HUD ANNOUNCES AGREEMENT WITH BANK OF AMERICA TO SETTLE LGBT DISCRIMINATION CLAIM
WASHINGTON, DC - January 02, 2012 - (RealEstateRama) -- The U.S. Department of Housing and Urban Development today announced an agreement with Bank of America (BOA) to settle a claim that the mortgage lender refused to provide financing to a lesbian couple. The agreement is the first enforcement action taken against a lender involving HUDâ€™s recent rule ensuring that the...
- CHARLES SCHWAB BANK TO PAY $30,000 TO SETTLE DISCRIMINATION COMPLAINT INVOLVING BORROWER WITH DISABILITIES
WASHINGTON, DC - March 17, 2011 - (RealEstateRama) -- The U.S. Department of Housing and Urban Development today announced that Charles Schwab Bank has agreed to pay $30,000 settling allegations that the bank refused to accept a loan application from the adult son of a Metairie, Louisiana woman with disabilities. The son, who was acting with his motherâ€™s power of...
- HUD CHARGES BANK OF AMERICA WITH DISCRIMINATING AGAINST HOMEBUYERS WITH DISABILITIES
WASHINGTON, DC - February 27, 2012 - (RealEstateRama) -- The U.S. Department of Housing and Urban Development (HUD) today announced that it is charging Bank of America with discriminating against homebuyers with disabilities. HUD alleges that Bank of America imposed unnecessary and burdensome requirements on borrowers who relied on disability income to qualify for their home loans and required some...
- HUD CHARGES WASHINGTON STATE PROPERTY OWNER WITH DISABILITY DISCRIMINATION
WASHINGTON, DC - September 26, 2011 - (RealEstateRama) -- The U.S. Department of Housing and Urban Development (HUD) today announced that it has charged the owner and manager of a Lakewood, Washington trailer park with discriminating on the basis of di......
- ERC and NCLR Investigation Uncovers Housing Discrimination against Latinos in Three Major Metropolitan Areas
- Media Advisory: NAHB to Host its Fall Construction Forecast Webinar Next Week
- Remodeling Market Index Reclaims All-Time High
- New-Home Sales Edge Up 0.2 Percent from Revised Down August Rate
- NHC applauds new mortgage rule for allowing broad access to homeownership
- BH Properties Acquires Retail Center in Northern Nevada for $6 Million
- 2014 NCHV Housing Summit Registration Now Closed
- ACLU Challenges Miami-Dade Housing Restriction Forcing Former Sex Offenders to Live by Railroad Tracks
- NCRC Statement on Final QRM Rule
- Green Building Initiative Announces New Appointments to Board
- EIGHTY-THREE PERCENT OF CONSTRUCTION FIRMS REPORT HAVING TROUBLE FINDING QUALIFIED WORKERS TO MEET GROWING DEMAND FOR CONSTRUCTION SERVICES