Nondiscrimination Requirements

By

AI Summary

The NCUA Board proposes removing a redundant and outdated regulation regarding nondiscrimination in lending. The current regulation may cause confusion and unnecessary burden because it has not kept up with changes in FHA interpretation and implementation.

Texas Relevance

The article does not explicitly mention Texas, TCUD, or any Texas-specific entities. It is a general federal regulation that applies to all credit unions nationwide.

Original Content

The NCUA Board (Board) is publishing this proposed rule to remove a redundant and outdated regulation regarding nondiscrimination in lending. While the regulation was intended to summarize the Fair Housing Act (FHA) prohibitions on discrimination related to real estate related loans, appraisals, and advertising, the Board's last substantive amendment to the regulation was finalized in 2001. Thus, the regulation may not reflect all case law or regulatory developments under the FHA, a statute that primarily falls under the jurisdiction of the Department of Housing and Urban Development (HUD) and continues to apply to federal credit unions (FCUs) regardless of the NCUA's regulations. Thus, the Board believes the current regulation may cause confusion and unnecessary burden because it has not kept up with changes in FHA interpretation and implementation. For these reasons, the Board is proposing to remove this regulation in its entirety.