In a major victory for Birmingham’s Black communities, the Department of Justice has secured an $8 million settlement from Fairway Independent Mortgage Corporation for discriminatory lending practices known as redlining. Fairway also faces a $1.9 million civil penalty. The settlement includes $7 million for affordable loan programs to help Black residents in Birmingham purchase or improve homes and an additional $1 million for community investment.
This is part of the Justice Department’s broader Combatting Redlining Initiative, which has now surpassed $150 million in relief for impacted communities nationwide. Attorney General Merrick Garland emphasized that these actions aim to reverse historic discrimination and build wealth through home ownership in Black communities.
Fairway’s practices show they directed less than 3 percent of advertising to majority Black areas. The case marks the 15th redlining settlement in three years.
Click play to listen to the report from AURN White House Correspondent Ebony McMorris. For more news, follow @E_N_McMorris & @aurnonline.
