Welcome to the Compliance Cohort. We are a group of compliance professionals working to make compliance easier. Our goal is to take complex compliance concepts and put them in simple terms that apply to the real world. We are glad you have found us and look forward to collaborating in the future.
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In October of 2021, the Department of Justice announced an initiative to combat redlining in the United States. While redlining has been a prohibited practices for decades, the DOJ called this new initiative their “most aggressive and coordinated enforcement effort to address redlining.” This meant that financial institutions were essentially given notice that redlining enforcement was about to be taken to an entirely new level. By early 2024, the DOJ stated that they had already secured over $122 million in relief for communities due to their redlining initiative, and were planning for many more restitutions to come.
The redlining initiative from the DOJ, along with the inherit high-risk nature of fair lending, means it is imperative that financial institutions work to proactively combat redlining risk in their organizations. The challenge with this is that redlining expectations over the last decade or so have evolved significantly, to the point where regulators are really zoning into a number of common deficiency areas.
The 2009 FFIEC Fair Lending Exam Procedures explain that redlining is a form of illegal disparate treatment in which a lender provides unequal access to credit, or unequal terms of credit, because of the race, color, national origin, or other prohibited characteristic(s) of the residents of the area in which the credit seeker resides or will reside or in which the residential property to be mortgaged is located. While this explanation of redlining is still accurate, the 2009 FFIEC guidance is a bit dated and leaves financial institutions wondering exactly what examiners are looking for today.
Fortunately, recent redlining enforcement has seemingly evolved to the point where financial institutions have somewhat of an established framework to be able to understand what regulators will be concerned about. Having this framework allows financial institutions to proactively work to combat redlining risk in their organizations.
Our Redlining class is designed to empower attendees to proactively combat redlining risk in their organizations. To do this, our program first begins by discussing the basics of fair lending along with the three types of lending discrimination recognized by the courts, as outlined in the 2009 Interagency Fair Lending Examination Procedures. Next, our program includes an overview and history of redlining before moving on to discuss a number of redlining examples. To do this, our instructor talks about a number of redlining settlements identified by the regulators that include a number of visual maps, along with the nitty gritty of what the examiners expect and say in both various complaints and consent orders. After this, the program reviews a number of recent releases relating to redlining before concluding with a section dedicated to mitigating redlining risk.
The bottom line goal of our program is to help attendees understand redlining risk, how to identify it, and know what steps could be taken to proactively combat redlining risk in their financial institutions.
This program would be good for compliance professionals, senior lenders, risk managers, auditors, loan officers, senior management, and anyone responsible for combatting redlining risk in their organizations.
2.5 CRCM, CERP credits. ABA Professional Certifications is dedicated to promoting the highest standards of performance and ethics within the financial services industry. The Redlining program has been approved for 2.5 CRCM, CERP credits. This statement is not an endorsement of this program or its sponsor. Certification holders must report these credits at aba.csod.com.
Regular: $349
ADD ON: “+ Unlimited” - Add a private portal for anyone in your organization to view this program for an additional $199. Access is still available for 60 days, so those in your organization must view the program during your 60 day access window. Limit of 5 total Certificates of Attendance, though anyone in your organization can view the program through the portal we set up. You will be contacted with information on the private portal sometime after purchase.
PREVIEW THE CLASS BEFORE YOU BUY? If you would like to demo this class before you purchase it to make sure it's what you are looking for, just let us know and we can work something out.
The class is presented in multiple videos and takes a deep dive on redlining. The total time of video instruction in this program is 2 hours and 8 minutes.
See below for the curriculum:
Introduction and Fair Lending
Overview and History
Examples of Redlining
Regulatory Activity
Risk Mitigation Strategies
This Compliance Class provides you with a deep dive into the requirements for financial institutions.
The class includes the following:
A comprehensive manual
A “virtual classroom” instructional video
60-day access to the class
Certificate of completion (1 per registration - available upon request)
All of our Compliance Classes are presented in our virtual classroom approach. This approach is designed to bring the presenter to you (at a fraction of the cost of having a live person) and includes a video of the presenter in front of a slide presentation that replicates a typical seminar environment. In addition, our presenters take a three-part approach to compliance instruction: to educate, to empower, and to entertain. This is achieved by focusing on relevant topics, speaking in simple to understand, layman's terms, and by keeping it light and humorous whenever possible. We have found that this "3-E" approach allow students to learn as quickly and effectively as possible. And, it adds a little bit of fun to an otherwise dreadful topic.
Certificates of completion are now available upon request. One certificate is available per registration.
When you purchase this compliance class, you get instant access to the online version of this class for 60 days. You will also receive an electronic version of the accompanying manual to keep.
We believe in our training products so much that we are offering a 100% money back guarantee within the first 10 business days after purchase. If you do not feel that you received the value promised for this training session, contact us within the first 10 business days after purchase and we will either make things right or provide 100% of the purchase price back to you.
