Denying Credit To Permanent Resident NonCitizens

Question:

Can a bank deny someone credit based soley on the fact that the applicant is a permanent resident of the US but not a citizen?

Answer:

The commentary to Regulation B states, "... a denial of credit on the ground that an applicant is not a United States citizen is not per se discrimination based on national origin." It is extremely difficult to argue that someone denied credit based solely on the lack of citizenship is not the victim of national origin discrimination. For further information see the article entitled, "Evaluating Immigration Status in Lending Situations"

First published on BankersOnline.com 11/5/01