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Commercial loans are fair lending issues

Answered by: 

Question: 
How does fair lending impact commercial loans, which is not “consumer protection” controlled?
Answer: 

Reg B applies to commercial accounts and is rooted in fair lending protections. The first day PPP loans were available, lawsuits were filed because some big banks were, among other things, limiting PPP loans to existing customers. The allegations were that this could be discriminatory. There was anecdotal evidence that a racial bias also factored into PPP loan decisions.

First published on 04/16/2023

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