Skip to main content

Associated Bank Settles HUD Charges of Discriminatory Lending

Phil Hall
May 26, 2015

Green Bay, Wis.-based Associated Bank has announced that it will provide approximately $200 million in residential mortgages to predominantly African-American and Hispanic communities in three states over the next three years as part of a settlement of federal charges that allege racial discrimination in lending.

The Milwaukee Journal-Sentinel reports that Associated Bank disclosed that the U.S. Department of Housing & Urban Development (HUD) accused the financial institution of disproportionately denying mortgage applications from minority customers between 2008 and 2010, and that it “underserved” predominantly minority neighborhoods. Although Associated Bank has denied that it engaged in discriminatory lending, it will provide home loans with reduce interest rates, down payments or closing costs in predominantly minority areas of Wisconsin, Illinois and Minnesota.

“Associated is pleased to have concluded these discussions and will fully comply with the agreement,” said Philip B. Flynn, the bank’s president and chief executive officer. “Doing so aligns with our ongoing commitment to our customers and communities where we do business. We agree with HUD that we can improve our performance in some of the communities and neighborhoods we serve. We remain committed to the promotion of homeownership and lending in those areas.”

As of this writing, HUD made no formal statement on the allegations against the bank or the terms of the settlement.

Published
May 26, 2015
Federal Court Shutters Sham Mortgage Relief Operation

FTC, California agency accuse 2 business owners of scam that cost consumers millions of dollars.

Regulation and Compliance
Sep 22, 2022
CFPB Seeks Input On Creating New Mortgage Products

Agency seeks information on refinances, mortgage products to promote competition and support household financial stability.

Regulation and Compliance
Sep 22, 2022
The Fed Raises Interest Rate 0.75% For The 3rd Time

Chairman said housing market may have to go through "a correction" to return to balance.

Regulation and Compliance
Sep 21, 2022
Fed Committee Gathers To Renew Inflation Fight

FOMC expected to announced 0.75% rate hike after 2-day meeting ends Wednesday.

Regulation and Compliance
Sep 20, 2022
MISMO Releases New Reference Model For Public Comment 

Version 3.6 of the MISMO Reference Model includes new data points and structures.

Regulation and Compliance
Sep 19, 2022
MBA, Other Organizations Want FHA's MIP Reduced

Submit letter to the White House & National Economic Council urging reduction in mortgage insurance premium.

Regulation and Compliance
Sep 14, 2022