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James Kleimann on how the Supreme Court’s Chevron decision could affect housing regulation
HousingWire Daily
Disparate Impact
The concept of disparate impact highlights the challenge where even with good intentions, if lending practices disproportionately affect a group negatively, liability is incurred. This issue becomes complex for non-banks lacking physical branches. While disparate impact discussions have waned in recent years, the use of algorithmic technology raises concerns about unintentional bias in lending decisions. As companies adopt big data for efficiency, potential challenges related to disparate impact and regulatory compliance are expected to emerge.
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