The U.S. Department of Justice has announced that First National Bank of Pennsylvania (F.N.B.) has agreed to pay a total of $13.5 million in order to resolve allegations of lending discrimination. This discrimination is said to have occurred through redlining practices primarily targeting Black and Hispanic neighborhoods in North Carolina.
According to the complaint filed by the Justice Department, F.N.B. allegedly failed to offer mortgage lending services to neighborhoods in Charlotte and Winston-Salem between 2017 and 2021. Additionally, they are accused of discouraging individuals in these communities from seeking home loans.
F.N.B. has yet to provide a comment regarding these allegations.
In a joint announcement, the Justice Department and the State of North Carolina have confirmed the resolution of their claims against F.N.B. This resolution entails two proposed consent orders that, pending court approval, will oblige F.N.B. to allocate the $13.5 million towards increasing credit opportunities for communities of color in Charlotte and Winston-Salem.
Furthermore, F.N.B. has agreed to enlist independent consultants in order to enhance its fair lending program and better address the mortgage credit needs of these communities.
For more information, please contact Denny Jacob.