Promote Accountability in Lending in Underserved Areas
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- Well Being In the Nation Network
Responsible banking laws can require banks to serve areas where many low-income and people of color live. This is important because these areas have not had the same access to banks as places where higher-income and white people live. Local governments invest their money in banks. Under a responsible banking law, a local government would only invest its money in a bank if the bank proves they are working in low-income and non-white communities.