Question

In this case study, how did HMDA data collection help support a case for unlawful lending discrimination?

A) Demonstrated borrower's creditworthiness
B) Highlighted competitive interest rates
C) Revealed disparities in loan approval rates
D) Showed property value appreciation

Answer 1

HMDA data collection helped support a case for unlawful lending discrimination by revealing disparities in loan approval rates.

Step-by-step explanation:

The HMDA data collection helped support a case for unlawful lending discrimination by revealing disparities in loan approval rates (C).

The data showed that certain racial or ethnic groups were being disproportionately denied loans compared to others. This evidence indicated that lending discrimination was occurring and supported the case for unlawful practices.