In a bold move, the Biden administration, led by the Consumer Financial Protection Bureau (CFPB) and the Justice Department, has issued a firm warning to financial institutions about the use of immigration status in credit decisions. The message is clear: banks and lenders could face consequences if they prioritize immigration status when denying credit. While the Biden administration claims this is a fight against discrimination, many see it as yet another example of prioritizing illegal immigrants over law-abiding citizens.
🚨🚨 REPORT: Biden Admin Threatening Banks To Lend Money To Illegal Immigrantshttps://t.co/vr0t2cqCCs
— 🇺🇸🇺🇸Josh Dunlap🇺🇲🇺🇲 ULTRA-MAGA (@JDunlap1974) October 13, 2023
Under the Equal Credit Opportunity Act (ECOA), lenders are allowed to consider an applicant’s immigration status when determining their ability to repay a loan. However, the Biden administration’s recent stance goes beyond the boundaries of this provision, cautioning against any “unnecessary or biased” reliance on immigration status. CFPB Director Rohit Chopra asserted that companies cannot hide behind immigration status as an excuse for what he terms “illegal discrimination.” It seems as though the Biden administration is more interested in political correctness than ensuring financial stability for all Americans.
Assistant Attorney General Kristen Clarke further emphasized that denying credit based solely on immigrant status may violate federal law, claiming that lenders should not prevent individuals from pursuing their financial goals based on unlawful bias. This guidance threatens to punish financial institutions that abide by the ECOA’s guidelines and consider immigration status as a legitimate factor in credit decisions. The Biden administration’s overreach poses a danger to our financial system and compromises the integrity of our country’s laws.
Financial institutions have expressed concerns, arguing that they operate within the guidelines of the ECOA when considering immigration status. However, the joint statement from the CFPB and the Justice Department challenges this, suggesting that any consideration of immigration status leading to discrimination based on national origin or race may be in violation of the Act. It’s clear that the Biden administration is more interested in creating a narrative of discrimination than in promoting financial stability and responsible lending practices.
The real concern is that the Biden administration’s policies will prioritize illegal immigrants over legal citizens. By discouraging financial institutions from considering immigration status, the Biden administration is jeopardizing the integrity of our financial system. It’s time to put American citizens first and ensure that credit decisions are based on the ability to repay, not on political correctness.