Fair lending audits

Fair lending audits are assessments conducted to ensure that financial institutions, like banks and mortgage lenders, comply with laws aimed at preventing discrimination in lending practices. These audits review loan applications, pricing, and approval rates to identify any disparities based on race, ethnicity, gender, or other factors. The goal is to promote equal access to credit and to ensure that all borrowers are treated fairly. By identifying potential discriminatory practices, these audits help protect consumers and uphold the integrity of the financial system.