The FTC's Surrender on Credit Discrimination The Federal Trade Commission (FTC) has recently announced deals with two auto dealers and a former general manager, effectively agreeing to disregard their court ordered obligations to maintain fair lending programs and refrain from engaging in unlawful credit discrimination.
At first glance, it appears the FTC is yielding to pressure from conservative lawmakers who have been pushing back against the agency's efforts to address disparate impact discrimination.
The issue stems from federal court orders issued in Illinois and Arizona, which were designed to hold auto dealers accountable for charging people of color more in discretionary markups and add on fees compared to white borrowers.