Mortgage Applicants Protected from Discrimination

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Can a lender reject my mortgage application because I receive public assistance?

Mortgage Applicants Protected from Discrimination

A lender or mortgage broker must treat all mortgage loan applications equally, regardless of the applicant's race, age, gender or martial status. Federal law protects homebuyers from discrimination when they are applying for a mortgage loan. If you suspect discrimination, contact your state Attorney General's Office. Know the law and be informed as a consumer.
* Lenders cannot reject mortgage applications because of age, race, gender, marital status, national origin, or because the applicant is on public assistance.
* Be aware that you can be asked to list your race, national origin or sex on an application. The voluntary practice enables monitoring agenices to uphold anti-discrimination laws. Creditors also can ask about immigration status to determine whether homebuyers will be in the country long enough to pay off a mortgage loan.
* Lenders are prohibited from increasing mortgage interest rates or requiring larger down payments because of race, sex, or other factors.
* Lenders cannot inquire about a homebuyer's plans to have children.
* If the home buyer meets the standards for a mortgage loan, the lender cannot require a co-signer.



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