Which act requires banks to report data on home lending to identify discriminatory patterns?

The Home Mortgage Disclosure Act is specifically designed to require banks and other lenders to report data on their home lending activities. This act aims to increase transparency in lending practices and to help identify any discriminatory patterns in home lending. By mandating reporting on various demographic factors, the act enables regulators and the public to analyze lending patterns and assess whether certain groups are being unfairly denied loans or treated differently based on characteristics like race, ethnicity, and income.

The act serves a crucial role in promoting fair lending practices, allowing for the monitoring of compliance with anti-discrimination laws, and ultimately fostering equitable access to housing finance. This proactive approach helps to ensure that lending institutions engage in fair practices and address any disparities that may arise in their lending operations.