Mortgage Lender Pays $3M To Settle Loan Discrimination Suit

Law360, New York (September 27, 2013, 11:27 AM EDT) -- Plaza Home Mortgage Inc. on Friday agreed to pay $3 million to African-American and Hispanic borrowers, settling allegations that the California mortgage lender discriminated against these clients by arbitrarily overcharging them for loans based on race.

The settlement snuffs out the suit one day after it was filed by federal authorities, and requires Plaza to establish race- and national origin-neutral standards for the assessment of broker fees and more closely monitor its wholesale mortgage loans, the Justice Department said on Friday.

"It is patently wrong for...
To view the full article, register now.

Documents

Related

Sections

Case Information

Case Title

United States of America v. Plaza Home Mortgage, Inc.


Case Number

3:13-cv-02327

Court

California Southern

Nature of Suit

Civil Rights: Accommodations

Judge

Marilyn L. Huff

Date Filed

September 26, 2013

Companies

Government Agencies

UK Financial Services

UK Financial Services

Read Our Latest UK Financial Services Coverage

Financial Services Law360 UK provides breaking news and analysis on the financial sector. Coverage includes UK and European Union policy, enforcement, and litigation involving banks, asset management firms, and other financial services organizations.