From Breitbart: The Trump administration has canceled the Biden administration’s rules forcing banks to ignore immigration status for loan applications.
On Monday, the Consumer Financial Protection Bureau and the Justice Department eliminated the Biden guidelines that ordered lenders not to consider immigration status when evaluating loan and credit applications, a rule that had major implications for mortgages, credit cards, and auto loans, Bloomberg reported.
The Biden administration maintained that considering immigration status would violate anti-racism laws that ensure equal and fair lending practices.
The Biden era rules were intended to help anchor illegal and temporary visa workers into Americans’ communities, for example, by providing funds for homes, autos, and apartment leases.
“The federal government is committed to avoiding statements that could confuse the law or imply compliance standards for civil rights laws that lack any statutory or regulatory basis,” said Assistant Attorney General Harmeet K. Dhillon of the Justice Department’s Civil Rights Division. “This administration is restoring alignment with established federal civil rights law rather than continuing the prior administration’s ideologically-driven departures.”
“For decades, ECOA regulations have permitted lenders to consider a borrower’s lawful residence status and other information necessary to protect their rights and remedies with respect to repayment,” said Acting Director Russell Vought at the Consumer Financial Protection Bureau. “We are correcting the last administration’s attempt to ignore these well-accepted and common-sense principles of our nation’s fair lending laws.”
CLICK HERE to see the full press release by the Justice Department.
Department of Justice and Consumer Financial Protection Bureau Withdraw Joint Statement on Fair Lending and Credit Opportunities for Noncitizen Borrowers
“The federal government is committed to avoiding statements that could confuse the law or imply compliance standards for… pic.twitter.com/Sd8HiEVDE8
— DOJ Civil Rights Division (@CivilRights) January 12, 2026
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