Fair Lending Review

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Fair Lending Review

The National Credit Union Administration (NCUA) supervises and enforces fair lending laws and regulations at federal credit unions with assets of $10 billion or less. And, the NCUA educates federally insured credit unions on their fair lending and consumer protection obligations. The NCUA’s Office of Consumer Protection (OCP) is responsible for implementing the NCUA’s fair lending compliance program.

The two main federal laws prohibit discrimination in lending are the Equal Credit Opportunity Act (ECOA), Regulation B and the Fair Housing Act (FHA). Additionally, if you receive a Fair Lending Exam you can expect to have your compliance with the Home Mortgage Disclosure Act (HMDA), Regulation C reviewed as well.

During this audit, CUACG will review the following items:

  • Review the credit union’s risk assessment
  • Review the credit union’s policy
  • Review the credit union’s HMDA-LAR filed and whether it was filed properly and accurately.
  • Perform different tests concerning the following:
    • Collection procedures of the credit union
    • A sample of adverse actions
    • A sample of mortgage loans approved and denied during the audit period
    • A sample of consumer loans originated by the loan officers of the credit union
  • Review training of employees regarding Fair Lending
  • Evaluate advertisements for loans to see if certain applicants may be discourage from applying
  • Review a sample of complaints alleging discrimination
  • Verify record retention requirements are met
  • Equal Housing Lender signage is displayed
  • Review of previous Fair Lending Exams, if applicable

Let CUACG’s certified examiners ensure your lending operations are in compliance with the required Fair Lending practices. Contact us today to get started!

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You are now leaving the Credit Union Auditing & Compliance Group's website. When you click on OK you will be transferred to a website that is not operated by the organization. The Credit Union Auditing & Compliance Group is not responsible for the content on the alternate site. Credit Union Auditing & Compliance Group does not represent the third party. Privacy and security policies of the alternate site may differ from those practiced by the organization.


Important Message

You are now leaving the Credit Union Auditing & Compliance Group's website. When you click on OK you will be transferred to a website that is not operated by the organization. The Credit Union Auditing & Compliance Group is not responsible for the content on the alternate site. Credit Union Auditing & Compliance Group does not represent the third party. Privacy and security policies of the alternate site may differ from those practiced by the organization.