HR 166 · 119th CongressIn Committee

Fair Lending for All Act

Latest updateJan 3, 2025

Referred to the House Committee on Financial Services.

Finance and Financial Sector

Sponsor

Al Green

Introduced

January 3, 2025

Latest action

January 3, 2025

Legislative Progress

How far this bill has traveled through Congress

Introduced

Bill filed in chamber

Committee

Reviewed & reported

Passed Chamber

House or Senate vote

Passed Both

House & Senate agree

President

Sent to White House

Enacted

Signed into law

Introduced

Bill filed in chamber

Committee

Reviewed & reported

Passed Chamber

House or Senate vote

Passed Both

House & Senate agree

President

Sent to White House

Enacted

Signed into law

Latest Action

Referred to the House Committee on Financial Services.

Plain-Language Summary

AI Generated

The Equal Credit Opportunity Act, enacted in 1974, prohibits discrimination in lending based on protected characteristics like race, color, religion, national origin, sex, marital status, and age. However, enforcement has relied primarily on complaint-driven investigations and periodic examinations by federal banking regulators. The law does not currently authorize systematic testing of lenders for compliance, does not explicitly cover discrimination based on ZIP code or census tract, and lacks criminal penalties for knowing violations. Additionally, the definition of who can bring a lawsuit under the law has been interpreted narrowly, limiting remedies available to those harmed by discriminatory lending practices.

The Fair Lending for All Act strengthens enforcement by requiring the Bureau of Consumer Financial Protection to establish an Office of Fair Lending Testing within its structure. This office, headed by a Director appointed for a five-year term, shall conduct undercover testing of creditors' compliance by deploying individuals posing as prospective borrowers to gather evidence of discrimination. The bill expands the prohibited bases for discrimination to include ZIP code, census tract, and receipt of public assistance income. It also broadens the definition of "aggrieved person" to include anyone injured by or reasonably believing they will be injured by discriminatory credit practices, and adds criminal penalties ranging from fines up to $50,000 and one year imprisonment for individual violations, to fines up to $100,000 per violation and twenty years imprisonment for patterns or practices of discrimination.

Implementation begins upon enactment, with the Office of Fair Lending Testing operational within the Consumer Financial Protection Bureau's existing structure and budget. The Bureau shall review loan applications and processes used by covered financial institutions to identify violations, with authority to prohibit noncompliant applications and take enforcement action. Violations discovered through testing shall be referred to the Department of Justice for criminal prosecution. The bill also requires the Home Mortgage Disclosure Act data collection to expand to capture applicant ZIP code, race, color, religion, national origin, sex, sexual orientation, gender identity, and marital status—enabling regulators to analyze lending patterns for potential discrimination. These changes create a more proactive enforcement regime and provide additional tools for identifying and prosecuting fair lending violations.

Key Provisions

1Establish an Office of Fair Lending Testing within the Bureau of Consumer Financial Protection to conduct undercover compliance testing of creditors using individuals posing as prospective borrowers.
2Expand the Equal Credit Opportunity Act's prohibition on discrimination to explicitly include ZIP code, census tract, public assistance income, and sexual orientation and gender identity.
3Broaden the definition of "aggrieved person" to include anyone injured by or reasonably believing they will be injured by discriminatory credit practices, expanding who can bring lawsuits.
4Add criminal penalties of up to $50,000 and one year imprisonment for individual violations, and up to $100,000 per violation and twenty years imprisonment for patterns or practices of discrimination, with personal liability for executive officers and directors.
5Require the Bureau of Consumer Financial Protection to review loan applications and processes used by covered financial institutions and prohibit those that violate fair lending or consumer financial laws.

★ Why this matters

The bill creates a dedicated testing infrastructure to proactively identify lending discrimination rather than waiting for complaints, making violations more likely to be detected and prosecuted. Criminal penalties create personal financial and liberty consequences for executives and officers, potentially deterring discriminatory practices. Expanded data collection on mortgage applications enables regulators to analyze lending patterns by race, religion, sexual orientation, and other protected characteristics, revealing systemic discrimination. Broadened standing to sue means more people harmed by discrimination can seek legal remedies.

● Who this affects

Mortgage applicants and credit seekers from racial and ethnic minorities, religious minorities, LGBTQ+ individuals, and those in lower-income ZIP codes face the most direct impact through enhanced protections. Mortgage lenders, credit card companies, auto lenders, and other creditors covered by fair lending laws must modify underwriting processes and loan application systems to comply with expanded prohibitions. The Bureau of Consumer Financial Protection gains new testing and enforcement authority. The Department of Justice receives referrals for criminal prosecution of knowing violations. Community organizations and civil rights groups that have diverted resources to address discrimination gain expanded ability to seek relief under the law.

Bill Text

View on Congress.gov

Show / hide bill text preview

<DOC>

119th CONGRESS
  1st Session
                                H. R. 166

 To establish an Office of Fair Lending Testing to test for compliance 
 with the Equal Credit Opportunity Act, to strengthen the Equal Credit 
   Opportunity Act, to ensure that persons injured by discriminatory 
  practices, including organizations that have diverted resources to 
address discrimination and whose mission has been frustrated by illegal 
   acts, can seek relief under such Act and to provide for criminal 
       penalties for violating such Act, and for other purposes.

                    IN THE HOUSE OF REPRESENTATIVES

                            January 3, 2025

Mr. Green of Texas introduced the following bill; which was referred to 
                  the Committee on Financial Services

                                 A BILL

 
 To establish an Office of Fair Lending Testing to test for compliance 
 with the Equal Credit Opportunity Act, to strengthen the Equal Credit 
   Opportunity Act, to ensure that persons injured by discriminatory 
  practices, including organizations that have diverted resources to 
address discrimination and whose mission has been frustrated by illegal 
   acts, can seek relief under such Act and to provide for criminal 
       penalties for violating such Act, and for other purposes.

    Be it enacted by the Senate and House of Representatives of the 
United States of America in Congress assembled,

SECTION 1. SHORT TITLE.

    This Act may be cited as the ``Fair Lending for All Act''.

SEC. 2. OFFICE OF FAIR LENDING TESTING.

    (a) Establishment.--There is established within the Bureau of 
Consumer Financial Protection an Office of Fair Lending Testing 
(hereinafter referred to as the ``Office'').
    (b) Director.--The head of the Office shall be a Director, who 
shall--
            (1) be appointed to a 5-year term by, and report to, the 
        Director of the Bureau of Consumer Financial Protection;
            (2) appoint and fix the compensation of such employees as 
        are necessary to carry out the duties of the Office under this 
        section; and
            (3) provide an estimated annual budget to the Director of 
        the Bureau of Consumer Financial Protection.
    (c) Civil Service Position.--The position of the Director shall be 
a career position within the civil service.
    (d) Testing.--
            (1) In general.--The Office, in consultation with the 
        Attorney General and the Secretary of Housing and Urban 
        Development, shall conduct testing of compliance with the Equal 
        Credit Opportunity Act by creditors, through the use of 
        individuals who, without any bona fide intent to receive a 
        loan, pose as prospective borrowers for the purpose of 
        gathering information.
            (2) Referral of violations.--If, in carrying out the 
        testing described under paragraph (1), the Office believes a 
        person has violated the Equal Cr…

Auto-Whip

Where House representatives currently stand

Built from official statements, public releases, and voting records where they exist. Members without enough evidence are marked as no position.

448 tracked

Support

448

No Position

Oppose

Support

Members whose public record points toward backing the bill.

No members in this group yet.

Opposition

Members whose public record points toward opposition.

No members in this group yet.

No Position

Members we are still tracking, but without enough public evidence yet.

448

Alma Adams

D-North Carolina · District 12

No position

Fair Lending for All Act

Legislative Progress

Plain-Language Summary

Key Provisions

★ Why this matters

● Who this affects

Bill Text

Where House representatives currently stand

Support

Opposition

No Position

Party Positions

Democratic Party

Republican Party

Take Action

Active Organizations

Fair Lending for All Act

Legislative Progress

Plain-Language Summary

Key Provisions

★ Why this matters

● Who this affects

Bill Text

Where House representatives currently stand

Support

Opposition

No Position

Party Positions

Democratic Party

Republican Party

Take Action

Active Organizations