View source for Redlining

{{Short description|Systemic denial of services to some areas}}
{{for-multi|the automotive term|Redline|other uses|Redline (disambiguation)}}
{{Use mdy dates|date=May 2021}}
{{Use American English|date=November 2021}}
[[File:Home Owners' Loan Corporation Philadelphia redlining map.jpg|thumb|upright=1.35|A 1937 [[Home Owners' Loan Corporation|HOLC]] "residential security" map of [[Philadelphia]], classifying various neighborhoods by estimated "[[Credit risk|riskiness]]" of mortgage loans<ref>The HOLC maps are part of the records of the FHLBB (RG195) at the {{cite web |title=National Archives |url=https://www.archives.gov/index.html |publisher=U.S. National Archives and Records Administration}}</ref>]]
'''Redlining''' is a [[Discrimination|discriminatory]] practice in which [[financial services]] are withheld from neighborhoods that have significant numbers of [[Race (human categorization)|racial]] and [[Ethnic group|ethnic]] minorities.<ref>{{cite journal |last1=Locke |first1=Dexter H. |last2=Hall |first2=Billy |last3=Grove |first3=J. Morgan |last4=Pickett |first4=Steward T. A. |last5=Ogden |first5=Laura A. |last6=Aoki |first6=Carissa |last7=Boone |first7=Christopher G. |last8=O'Neil-Dunne |first8=Jarlath P. M. |title=Residential housing segregation and urban tree canopy in 37 US Cities |journal=npj Urban Sustainability |date=25 March 2021 |volume=1 |issue=1 |page=15 |doi=10.1038/s42949-021-00022-0 |s2cid=232342980 |doi-access=free |bibcode=2021npjUS...1...15L }}</ref> Redlining has been most prominent in the [[United States]], and has mostly been directed against [[African Americans]], as well as [[Mexican Americans]] in the [[Southwestern United States]].<ref>{{cite web |title=1935 HOLC San Antonio City Survey Report |url=https://digital.utsa.edu/digital/collection/p16018coll12/search |publisher=UTSA Special Collections |access-date=January 18, 2025}}</ref> The most common examples involve denial of [[credit]] and [[insurance]], denial of [[Race and health|healthcare]], and the development of [[food desert]]s in [[Minority group|minority]] neighborhoods.<ref>{{Cite web |last=Perrino |first=Julia |date=2020-07-02 |title=Redlining and health indicators: Decisions made 80 years ago have health consequences today |url=https://ncrc.org/redlining-and-health-indicators-decisions-made-80-years-ago-have-health-consequences-today/ |access-date=2021-11-09 |website=National Community Reinvestment Coalition}}</ref><ref name=":4">{{Cite web |last=Agyeman |first=Julian |title=How urban planning and housing policy helped create 'food apartheid' in US cities |url=http://theconversation.com/how-urban-planning-and-housing-policy-helped-create-food-apartheid-in-us-cities-154433 |access-date=2021-11-09 |website=The Conversation|date=March 9, 2021 }}</ref>

'''Reverse redlining''' occurs when a [[Creditor|lender]] or insurer targets [[Majority minority|majority-minority]] neighborhood residents with inflated [[interest rate]]s by taking advantage of the lack of lending competition relative to non-redlined neighborhoods.<ref name="Levine & Harmon pp. 6–7">{{cite book |last1=Levine |first1=Hillel |last2=Harmon |first2=Lawrence |title=The Death of an American Jewish Community: A Tragedy of Good Intentions |year=1992 |place=New York |publisher=[[Free Press (publisher)|Free Press]] |pages=6–7, 68–72, 196–197, 276–277 |isbn=978-0-02-913865-6}}</ref><ref name="Rothstein pp. 64–67">{{cite book |last=Rothstein |first=Richard |author-link=Richard Rothstein |title=The Color of Law: A Forgotten History of How Our Government Segregated America |title-link=The Color of Law |year=2017 |place=New York |publisher=[[Boni & Liveright|Liveright Publishing Corporation]] |pages=64–67 |isbn=978-1-63149-453-6}}</ref> The effect also emerges when service providers [[Artificial scarcity|artificially restrict]] the [[Real estate economics#Supply of housing|supply of real estate]] available for [[loanable funds]] to nonwhites, thus providing alternative [[pretext]] for higher rates. Neighborhoods which were targeted for [[blockbusting]] were also subject to reverse redlining.<ref>{{cite journal |last1=Hightower |first1=Cameron |last2=Fraser |first2=James C. |title=The Raced–Space of Gentrification: 'Reverse Blockbusting,' Home Selling, and Neighborhood Remake in North Nashville |journal=City & Community |date=March 2020 |volume=19 |issue=1 |pages=223–244 |doi=10.1111/cico.12444 |s2cid=210384415 |doi-access=free }}</ref>

In the 1960s, sociologist John McKnight originally coined the term to describe the discriminatory practice in [[Chicago, Illinois]] of [[banks]] classifying certain neighborhoods as "hazardous," or not worthy of investment due to the racial makeup of their residents.<ref>{{Cite web |date=September 2018 |url=https://www.ipr.northwestern.edu/documents/year-in-review/iprat40.pdf |access-date=November 9, 2021 |title=IPR at 40 |website=Northwestern IPR |publisher=[[Northwestern University Institute for Policy Research]]}}</ref> In the 1980s, a [[Pulitzer Prize]]-winning series of articles<ref>{{Cite news |title=Awards: Pulitzer Prizes Awarded to The Atlanta Journal-Constitution |url=https://www.ajc.com/about-us/awards-pulitzer-prizes-awarded-to-the-atlanta-journal-constitution/HLVO3ULWZJF7TH5HFIKMEGQQP4/ |access-date=2021-11-09 |newspaper=The Atlanta Journal-Constitution}}</ref> by investigative reporter [[Bill Dedman]] demonstrated how [[Atlanta]] banks would often lend in lower-income [[White people|white]] neighborhoods but not in middle-income or even upper-income Black neighborhoods.<ref>{{Cite news |last=Dedman |first=Bill |date=1–4 May 1988 |title=The Color of Money |work=The Atlanta Journal-Constitution |url=http://powerreporting.com/color/color_of_money.pdf |archive-url=https://web.archive.org/web/20210703153220/http://powerreporting.com/color/color_of_money.pdf |archive-date=3 July 2021}}</ref><ref>{{Cite web |title=Investigative Classics: 'The Color of Money,' on Housing Redlining, 1988 |website=RealClearInvestigations |url=https://www.realclearinvestigations.com/articles/2018/04/05/investigative_classics_the_color_of_money_-_red_lines_separate_blacks_and_whites.html |access-date=2021-11-09}}</ref>

[[Blacklisting]] was a related mechanism employed by redlining institutions to keep track of areas, groups, and people that the discriminating party intended to [[Social exclusion|exclude]]. In [[Academic publishing|academic literature]], redlining falls under the broader category of [[credit rationing]].<ref>{{cite journal |last1=Gabriel |first1=Stuart A. |last2=Rosenthal |first2=Stuart S. |title=Credit rationing, race, and the mortgage market |journal=Journal of Urban Economics |date=May 1991 |volume=29 |issue=3 |pages=371–379 |doi=10.1016/0094-1190(91)90007-T }}</ref> The documented [[Residential segregation in the United States|history of redlining in the United States]] is a manifestation of the historical [[systemic racism]] that has had wide-ranging impacts on [[Society of the United States|American society]], two examples being [[educational inequality|educational]] and [[housing inequality]] across racial groups.<ref>{{cite web |url=https://www.americanbar.org/groups/crsj/publications/human_rights_magazine_home/civil-rights-reimagining-policing/a-lesson-on-critical-race-theory/ |title=A Lesson on Critical Race Theory |last=George |first=Janel |publisher=American Bar Association |date=January 11, 2021 |website=americanbar.org |access-date=November 6, 2021}}</ref><ref>{{cite journal |last1=Martin |first1=Lori |last2=Varner |first2=Kenneth |title=Race, Residential Segregation, and the Death of Democracy: Education and Myth of Postracialism |journal=Democracy and Education |date=1 May 2017 |volume=25 |issue=1 |doi=10.65214/2164-7992.1265 |url=https://democracyeducationjournal.org/home/vol25/iss1/4/ }}</ref> Redlining is also an example of [[spatial inequality]] and [[economic inequality]].

== History ==
{{further|Sundown towns|Racial covenants}}
The specific process termed "redlining" in the United States occurred on the background of racial segregation and discrimination against minority populations. It had its origins in sales practices of the [[National Association of Real Estate Boards]] and theories about race and property values codified by economists surrounding [[Richard T. Ely]] and his Institute for Research in Land Economics and Public Utilities, founded at the [[University of Wisconsin]] in 1920.<ref>{{cite journal |last1=Winling |first1=LaDale C |last2=Michney |first2=Todd M |title=The Roots of Redlining: Academic, Governmental, and Professional Networks in the Making of the New Deal Lending Regime |journal=Journal of American History |date=1 June 2021 |volume=108 |issue=1 |pages=42–69 |doi=10.1093/jahist/jaab066 |doi-access=free }}</ref> With the [[National Housing Act of 1934]] the federal government began to be involved in the practice and the concurrent establishment of the [[Federal Housing Administration]] (FHA).<ref name="Madrigal">{{Cite news |url=https://www.theatlantic.com/business/archive/2014/05/the-racist-housing-policy-that-made-your-neighborhood/371439/ |title=The Racist Housing Policy That Made Your Neighborhood |last=Madrigal |first=Alexis C. |date=22 May 2014 |work=The Atlantic |access-date=10 November 2018}}</ref> The FHA's formalized redlining process was developed by their Chief Land Economist, [[Homer Hoyt]], as part of an initiative to develop the first [[Mortgage underwriting in the United States|underwriting criteria]] for [[mortgages]].<ref name="color">{{cite book |last=Rothstein |first=Richard |date=2017 |title=The Color of Law: A Forgotten History of How Our Government Segregated America |publisher=Liveright |pages=93–94 |isbn=978-1-63149-286-0}}</ref><ref name="hoytbiography">{{Citation |title=Homer Hoyt: An Introduction |date=2019-01-29 |url=http://hoytgroup.org/wp-content/uploads/2019/03/Homer-Hoyt-Bio-Grant-and-Steve-Final-1-29-2019.pdf |access-date=2021-05-25}}</ref> The implementation of this federal policy accelerated the decay and isolation of minority inner-city neighborhoods through withholding of mortgage capital, making it even more difficult for neighborhoods to attract and retain families able to purchase homes.<ref name="Wilson">{{cite book |last1=Wilson |first1=William J. |title=When work disappears: the world of the new urban poor |date=1996 |publisher=Knopf |location=New York |isbn=978-0-679-72417-9 |page=50 (PDF page 10) |edition=1st |url=https://www.benjaminjameswaddell.com/wp-content/uploads/2015/01/wilson-when-work-disappears1.pdf}}</ref> The discriminatory assumptions in redlining exacerbated residential [[racial segregation]] and [[urban decay]] in the United States.
[[File:Philadelphia_HOLC_Redlining_Zone_Descriptions,_1937.pdf|page=100|thumb|Page of HOLC document for above Philadelphia redlining map. Covering zone D20, one of the red areas.{{Br|2}}It lists one of the 'Detrimental Influences' as a "concentration of Negros and Italians."]]
In 1935, the [[Federal Home Loan Bank Board]] (FHLBB) asked the [[Home Owners' Loan Corporation]] (HOLC) to look at 239 cities and create "residential security maps" to indicate the level of security for real-estate investments in each surveyed city. On the maps, the newest areas—those considered desirable for lending purposes—were outlined in green and known as "Type A". These were typically affluent suburbs on the outskirts of cities. "Type B" neighborhoods, outlined in blue, were considered "Still Desirable", whereas older "Type C" were labeled "Declining" and outlined in yellow. "Type D" neighborhoods were outlined in red and were considered the most risky for mortgage support. While about 85% of the residents of such neighborhoods were white, they included most of the [[African-American]] urban households.<ref>{{cite web |last1=Maas |first1=Steve |title=Searching for the Origins of Redlining of Black Neighborhoods |url=https://www.nber.org/digest-202102/searching-origins-redlining-black-neighborhoods |website=NBER |access-date=1 October 2021 |archive-date=October 1, 2021 |archive-url=https://web.archive.org/web/20211001095413/https://www.nber.org/digest-202102/searching-origins-redlining-black-neighborhoods }}</ref> These neighborhoods tended to be the older districts in the center of cities; often they were also [[African-American neighborhood]]s,<ref name="jackson">{{cite crabgrass}}</ref> and only six majority African-American neighborhoods in the entire United States were not evaluated as "Type D."<ref name="Federal 'redlining' maps: A critica">{{cite journal |last1=Markley |first1=Scott |title=Federal 'redlining' maps: A critical reappraisal |journal=Urban Studies |date=July 7, 2023 |volume=61 |issue=2 |pages=195–213 |doi=10.1177/00420980231182336 |s2cid=259557704 }}</ref> Urban planning historians theorize that the maps were used by private and public entities for years afterward to deny loans to people in black communities,<ref name = "jackson"/> though planners and historians have debated the exact role of HOLC and its maps in redlining.<ref name="Federal 'redlining' maps: A critica"/>

Redlining maps even became prominent under private organizations, such as appraiser J. M. Brewer's 1934 map of Philadelphia.<ref name="BrewerMapSouth">{{cite web |title=J.M. Brewer's Map of Philadelphia (1934) |url=https://www.philageohistory.org/rdic-images/view-image.cfm/JMB1934.Phila.002.SouthSection |publisher=GeoHistory Resources |access-date=10 April 2021}}</ref> Private organizations created maps designed to meet the requirements of the [[Federal Housing Administration]]'s underwriting manual. The lenders had to consider FHA standards if they wanted to receive FHA insurance for their loans. FHA appraisal manuals instructed banks to steer clear of areas with "inharmonious racial groups", and recommended that municipalities enact racially restrictive zoning ordinances.<ref>{{Cite journal |jstor=20868512 |last1=Schill |first1=Michael H. |last2=Wachter |first2=Susan M. |title=Principles to Guide Housing Policy at the Beginning of the Millennium |journal=Cityscape |volume=5 |issue=2 |pages=5–19 |year=2001 |citeseerx=10.1.1.536.5952 |s2cid=154443509}}</ref><ref>{{cite book |chapter-url=http://wbhsi.net/~wendyplotkin/DeedsWeb/fha38.html |quote=Recommended restrictions should include provision for the following: Prohibition of the occupancy of properties except by the race for which they are intended [...] Schools should be appropriate to the needs of the new community and they should not be attended in large numbers by inharmonious racial groups |publisher=[[Federal Housing Administration]] |title=Underwriting Manual: Underwriting and Valuation Procedure Under Title II of the National Housing Act With Revisions to February 1938 |location=Washington, D.C. |chapter=Part II, Section 9, Rating of Location |title-link=National Housing Act of 1934 |access-date=May 30, 2014 |archive-date=December 20, 2012 |archive-url=https://archive.today/20121220101009/http://wbhsi.net/~wendyplotkin/DeedsWeb/fha38.html }}</ref> Between 1945 and 1959, African Americans received less than 2 percent of all federally insured home loans.<ref name="Hanlon">{{cite book |last1=Hanlon |first1=Bernadette |last2=Short |first2=John Rennie |editor1-last=Anacker |editor1-first=Katrin B. |editor2-last=Nguyen |editor2-first=Mai Thi |editor3-last=Varady |editor3-first=David P. |display-editors=1 |title=The Routledge Handbook of Housing Policy and Planning |date=2020 |publisher=Routledge |location=New York |isbn=978-1-1381-8843-3 |chapter=Housing Policy and the Suburban Metropolis: A Focus on the United States and France}}</ref><ref name="Hanchett">{{cite book |last=Hanchett |first=Thomas W. |chapter=The Other 'Subsidized Housing': Federal Aid to Suburbanization 1940s-1960s |editor1-first=John F. |editor1-last=Bauman |editor2-first=Roger |editor2-last=Biles |editor3-first=Kristin M. |editor3-last=Szylvian |display-editors=1 |title=From Tenements to the Taylor Homes: In Search of an Urban Housing Policy in Twentieth Century America |publisher=Pennsylvania State University Press |year=2000 |pages=163–179 |isbn=978-0-271-02012-9}}</ref><ref name="Gelfand">{{cite book |last1=Gelfand |first1=Mark I. |title=A Nation of Cities: The Federal Government and Urban America, 1933–1965 |date=1975 |publisher=Oxford University Press |location=New York |isbn=978-0-19-501941-4 |url=https://archive.org/details/nationofcitiesfe0000gelf/page/220 |page=221 |url-access=registration}}</ref>

Banks and mortgage lenders were not the only private entities to develop redlining practices. Property insurance companies also instituted rigid redlining policies in the post-World War II period. According to urban historian Bench Ansfield, the postwar advent of comprehensive homeowners' insurance was limited to the suburbs and withheld from neighborhoods of color in U.S. cities. One Aetna bulletin from 1964 advised underwriters to "use a red line around questionable areas on territorial maps." The New York Urban Coalition warned in 1978, "A neighborhood without insurance is a neighborhood doomed to death."<ref name="Journal of American History 2021">{{cite journal |last1=Ansfield |first1=Bench |title=The Crisis of Insurance and the Insuring of the Crisis: Riot Reinsurance and Redlining in the Aftermath of the 1960s Uprisings |journal=Journal of American History |date=1 March 2021 |volume=107 |issue=4 |pages=899–921 |doi=10.1093/jahist/jaaa533 }}</ref>

Following a [[National Housing Conference]] in 1973, a group of Chicago community organizations led by The Northwest Community Organization (NCO) formed [[National People's Action]] (NPA), to broaden the fight against [[disinvestment]] and mortgage redlining in neighborhoods all over the country. This organization, led by Chicago housewife [[Gale Cincotta]] and [[Shel Trapp]], a professional community organizer, targeted The Federal Home Loan Bank Board, the governing authority over federally chartered [[Savings and loan association]]s (S&L) that held at that time the bulk of the country's home mortgages. NPA embarked on an effort to build a national coalition of urban community organizations to pass a national disclosure regulation or law to require banks to reveal their lending patterns.<ref name="CAKirk">{{Cite journal |last=Hallahan |first=Kirk |date=1992 |title=The mortgage redlining controversy, 1972-75 |oclc=31165884 |journal=Proceedings of the Annual Meeting of the Association for Education in Journalism and Mass Communication (75th, Montreal, Quebec, Canada, August 5–8, 1992) |url=http://lamar.colostate.edu/~pr/redlining.pdf |archive-url=https://web.archive.org/web/20130809022759/http://lamar.colostate.edu/~pr/redlining.pdf |archive-date=2013-08-09}}</ref>

For many years, urban community organizations had battled neighborhood decay by attacking [[blockbusting]] (deceptive encouragement of [[white flight]] from neighborhoods in order to buy up real estate at a huge discount and then rent to low-income, usually black tenants), forcing landlords to maintain properties, and requiring cities to board up and tear down abandoned properties.<ref>{{Cite book |last=Taylor |first=Keeanga-Yamahtta |title=Race for Profit: How Banks and the Real Estate Industry Undermined Black Homeownership |publisher=University of North Carolina Press |year=2019 |isbn=978-1-4696-5367-9 |location=Chapel Hill |pages=48}}</ref> These actions addressed the short-term issues of neighborhood decline. Neighborhood leaders began to learn that these issues and conditions were symptoms of disinvestment that was the true, though hidden, underlying cause of these problems. They changed their strategy as more data was gathered.<ref>{{cite book |author1=Michael Westgate |author2=Ann Vick-Westgate |title=Gale Force, The Battles for Disclosure and Community Reinvestment |year=2011 |publisher=Harvard Bookstore |location=Cambridge, Ma. |isbn=978-0-615-44901-2 |pages=40–41}}</ref>

With the help of NPA, a coalition of loosely affiliated community organizations began to form. At the Third Annual Housing Conference held in Chicago in 1974, eight hundred delegates representing 25 states and 35 cities attended. The strategy focused on the [[Federal Home Loan Bank Board]] (FHLBB), which oversaw S&Ls in cities all over the country.

In 1974, Chicago's Metropolitan Area Housing Association (MAHA), made up of representatives of local organizations, succeeded in having the Illinois State Legislature pass laws mandating disclosure and outlawing redlining. In Massachusetts, organizers allied with NPA confronted a unique situation. Over 90% of home mortgages were held by state-chartered savings banks. A Jamaica Plain neighborhood organization pushed the disinvestment issue into the statewide gubernatorial race. The Jamaica Plain Banking & Mortgage Committee and its citywide affiliate, The Boston Anti-redlining Coalition (BARC), won a commitment from Democratic candidate [[Michael S. Dukakis]] to order statewide disclosure through the Massachusetts State Banking Commission. After Dukakis was elected, his new Banking Commissioner ordered banks to disclose mortgage-lending patterns by [[ZIP Code|ZIP code]]. The suspected redlining was revealed.<ref>{{cite journal |last=Jordan |first=Patricia |title=Mass Thrifts Plan Suit Over Redlining, Commissioner Stands Firm |journal=American Banker |date=June 12, 1975}}</ref> Richard W. "Rick" Wise, a former community organizer who led the Boston organizing, has published a novel, ''Redlined'', which gives a somewhat fictionalized account of the anti-redlining campaign.<ref>{{cite book |last1=Wise |first1=Richard W. |title=Redlined; a novel of Boston |date=1 October 2019 |publisher=Adelaide Books |location=New York |isbn=978-1-950437-24-5 |page=335 |edition=1st }}</ref>

NPA and its affiliates achieved disclosure of lending practices with the passage of The [[Home Mortgage Disclosure Act]] of 1975. The required transparency and review of loan practices began to change lending practices. NPA began to work on reinvestment in areas that had been neglected. Their support helped gain passage in 1977 of the [[Community Reinvestment Act]].

Redlining was prevalent in Canada from the 1930s to 1950s in Ontario, with intergenerational consequences that persist to the present day.<ref>{{Cite web |title=Redlining in Canada: Past and Present Impacts on Communities |url=https://www.koho.ca/learn/redlining-in-canada/ |access-date=2023-06-16 |website=www.koho.ca}}</ref>

== Efforts to end ==

=== Legislation ===

In the United States, the [[Fair Housing Act of 1968]] was passed to combat the practice of redlining. The Fair Housing Act of 1968 made the discriminatory housing policies linked to redlining illegal. According to the Department of Housing and Urban Development, "The Fair Housing Act makes it unlawful to discriminate in the terms, conditions, or privileges of sale of a dwelling because of race or national origin. The Act also makes it unlawful for any person or entity involved in residential real estate-related transactions to discriminate against any person in making available such a transaction, or in the terms or conditions of such a transaction, because of race or national origin."<ref name=HUDNo_15-064b>{{Cite web |title=HUDNo_15-064 |url=https://portal.hud.gov/hudportal/HUD?src=/press/press_releases_media_advisories/2015/HUDNo_15-064b |website=portal.hud.gov |access-date=2017-03-08 |archive-date=2017-03-08 |archive-url=https://web.archive.org/web/20170308221250/https://portal.hud.gov/hudportal/HUD?src=%2Fpress%2Fpress_releases_media_advisories%2F2015%2FHUDNo_15-064b}}</ref>  The [[Office of Fair Housing and Equal Opportunity]] is tasked with administering and enforcing this law.

The Equal Credit Opportunity Act (ECOA), codified at 15 U.S.C. § 1691 et seq., was enacted on October 28, 1974.<ref>{{cite web |title=15 USC CHAPTER 41, SUBCHAPTER IV: EQUAL CREDIT OPPORTUNITY |url=https://uscode.house.gov/view.xhtml?req=granuleid%3AUSC-prelim-title15-chapter41-subchapter4&edition=prelim |website=uscode.house.gov}}</ref> This law makes it unlawful for any creditor to discriminate against any applicant regarding any aspect of a credit transaction based on race, color, religion, national origin, sex, marital status, or age (provided the applicant has the capacity to contract).<ref>{{cite web |title=Civil Rights Division {{!}} The Equal Credit Opportunity Act |url=https://www.justice.gov/crt/equal-credit-opportunity-act-3 |website=www.justice.gov |language=en |date=6 August 2015}}</ref>  It also prohibits discrimination based on the applicant's income deriving from a public assistance program or the applicant's good faith exercise of any right under the Consumer Credit Protection Act. The ECOA applies to any person who regularly participates in credit decisions,<ref>{{cite web |title=Federal Register :: Request Access |url=https://www.ecfr.gov/current/title-12/chapter-II/subchapter-A/part-202 |website=unblock.federalregister.gov}}</ref> including banks, retailers, bankcard companies, finance companies, and credit unions.

The part of the law that defines its authority and scope is known as Regulation B, referenced as 12 C.F.R. § 1002.1(b) (2017).<ref>{{cite web |title=Federal Register :: Request Access |url=https://www.ecfr.gov/current/title-12/chapter-X/part-1002 |website=unblock.federalregister.gov}}</ref> from the (b) that appears in Title 12 part 1002's official identifier: 12 C.F.R. § 1002.1(b) (2017).<ref name="auto">{{cite web |title=§ 1002.1 Authority, scope and purpose. |url=https://www.consumerfinance.gov/rules-policy/regulations/1002/1/ |website=Consumer Financial Protection Bureau |language=en}}</ref> Failure to comply with Regulation B can subject a financial institution to civil liability for actual and punitive damages in individual or class actions. Liability for punitive damages can be as much as $10,000 in individual actions and the lesser of $500,000 or 1% of the creditor's net worth in class actions.<ref name="auto"/>

The [[Community Reinvestment Act]] (CRA), passed by Congress in 1977, requires banks to apply the same lending criteria in all communities.<ref>{{cite book |title=Comeback Cities: A Blueprint for Urban Neighborhood Revival |author1=Paul S. Grogan |author2=Tony Proscio |isbn=978-0-8133-3952-8 |year=2002 |page=114 |publisher=Basic Books |quote=The goal was not to relax lending restrictions but rather to get banks to apply the same criteria to residents in the inner-city as in the [[suburbs]]. }}{{Dead link|date=July 2023 |bot=InternetArchiveBot |fix-attempted=yes }}</ref>

=== Regulatory lawsuits ===
In May 2015, the [[United States Department of Housing and Urban Development|U.S. Department of Housing and Urban Development]] announced that [[Associated Banc-Corp|Associated Bank]] had agreed to a $200 million settlement over redlining in Chicago and Milwaukee. The three-year HUD observation led to the complaint that the bank purposely rejected mortgage applications from black and Latino applicants.<ref name=HUDNo_15-064b/> The final settlement required AB to open branches in non-white neighborhoods.<ref>{{Cite news |url=http://www.housingwire.com/articles/33998-associated-bank-settles-with-hud-over-discriminatory-lending |title=Associated Bank settles with HUD over discriminatory lending |access-date=2017-03-08}}</ref>

[[Attorney General of New York|New York Attorney General]] [[Eric Schneiderman]] announced a settlement with Evans Bank for $825,000 on September 10, 2015. An investigation had uncovered the erasure of black neighborhoods from mortgage lending maps.<ref>{{Cite news |date=2015-09-10 |url=https://www.nytimes.com/2015/09/11/business/dealbook/evans-bank-settles-new-york-redlining-lawsuit.html |title=Evans Bank Settles New York 'Redlining' Lawsuit |last1=Silver-Greenberg |first1=Jessica |last2=Corkery |first2=Michael |work=The New York Times |access-date=2017-03-08 |url-access=subscription |url-status=live |archive-url=https://web.archive.org/web/20150918072445/https://www.nytimes.com/2015/09/11/business/dealbook/evans-bank-settles-new-york-redlining-lawsuit.html |archive-date=September 18, 2015 }}</ref> According to Schneiderman, of the over 1,100 mortgage applications the bank received between 2009 and 2012, only four were from African Americans.<ref>{{Cite web |url=https://ag.ny.gov/press-release/ag-schneiderman-secures-agreement-evans-bank-ending-discriminatory-mortgage-redlining |title=A.G. Schneiderman Secures Agreement With Evans Bank Ending Discriminatory Mortgage Redlining In Buffalo {{!}} New York State Attorney General |website=ag.ny.gov |access-date=2017-03-08 |archive-url=https://web.archive.org/web/20180130080121/https://ag.ny.gov/press-release/ag-schneiderman-secures-agreement-evans-bank-ending-discriminatory-mortgage-redlining |archive-date=2018-01-30 }}</ref> Following this investigation, ''[[The Buffalo News]]'' reported that more banks could be investigated for the same reasons in the near future. The most notable examples of such DOJ and HUD settlements have focused heavily on community banks in large metropolitan areas, but banks in other regions have been the subject of such orders as well, including First United Security Bank in Thomasville, Alabama, and Community State Bank in Saginaw, Michigan.<ref>{{Cite web |url=http://buffalonews.com/2014/09/02/evans-bancorp-isnt-only-lender-at-risk-of-redlining-lawsuit/ |title=Evans Bancorp isn't only lender at risk of redlining lawsuit |last=Glynn |first=Matt |date=2014-09-02 |website=The Buffalo News |access-date=2017-03-08 |archive-date=March 8, 2017 |archive-url=https://web.archive.org/web/20170308224601/http://buffalonews.com/2014/09/02/evans-bancorp-isnt-only-lender-at-risk-of-redlining-lawsuit/ }}</ref>

The [[United States Department of Justice]] announced a $33 million settlement with [[Hudson City Savings Bank]], which services [[New Jersey]], [[New York (state)|New York]], and [[Pennsylvania]], on September 24, 2015.<ref>{{Cite web|url=https://www.justice.gov/opa/file/777866/download|title=CONSUMER FINANCIAL PROTECTION BUREAU, and UNITED STATES OF AMERICA, v. HUDSON CITY SAVINGS BANK, F.S.B.}}</ref> The six-year DOJ investigation had proven that the company was intentionally avoiding granting mortgages to Latinos and African Americans and purposely avoided expanding into minority-majority communities. The Justice Department called it the "largest residential mortgage redlining settlement in its history."<ref>{{Cite web |url=https://www.justice.gov/opa/pr/justice-department-and-consumer-financial-protection-bureau-reach-settlement-hudson-city |title=Justice Department and Consumer Financial Protection Bureau Reach Settlement with Hudson City Savings Bank to Resolve Allegations of Mortgage Lending Discrimination |website=www.justice.gov |access-date=2017-03-08 |date=2015-09-24}}</ref> As a part of the settlement agreement, HCSB was forced to open branches in non-white communities. As U.S. Attorney Paul Fishman explained to Emily Badger for ''[[The Washington Post]]'', "[i]f you lived in a majority-black or Hispanic neighborhood and you wanted to apply for a mortgage, Hudson City Savings Bank was not the place to go." The enforcement agencies cited additional evidence of discrimination in Hudson City's broker selection practices, noting that the bank received 80 percent of its mortgage applications from mortgage brokers but that the brokers with whom the bank worked were not located in majority African-American and Hispanic areas.<ref>{{Cite news |url=https://www.washingtonpost.com/news/wonk/wp/2015/09/25/what-it-looks-like-when-a-bank-structures-its-business-to-avoid-minorities/ |title=What it looks like when a bank goes out of its way to avoid minorities |newspaper=[[The Washington Post]] |access-date=2017-03-08}}</ref>

On January 12, 2023, [[City National Bank (California)|City National Bank of California]] agreed to pay $31,000,000 to resolve allegations of redlining from 2017 to at least 2020, brought by the [[United States Department of Justice]].<ref>{{Cite web |date=2023-01-12 |title=Justice Department Secures Over $31 Million from City National Bank to Address Lending Discrimination Allegations |url=https://www.justice.gov/opa/pr/justice-department-secures-over-31-million-city-national-bank-address-lending-discrimination |access-date=2023-01-13 |website=www.justice.gov}}</ref>

=== Community organizations ===
[[ShoreBank]], a community-development bank in [[Chicago]]'s [[South Shore, Chicago|South Shore]] neighborhood, was a part of the private sector fight against redlining.<ref name="shorebank">{{cite web |last=Douthwaite |first=Richard |title=HOW A BANK CAN TRANSFORM A NEIGHBOURHOOD |website=Short Circuit |url=http://www.feasta.org/documents/shortcircuit/index.html?sc4/shorebank.html |access-date=January 8, 2007}}</ref> Founded in 1973, ShoreBank sought to combat racist lending practices in Chicago's [[African-American]] communities by providing financial services, especially mortgage loans, to local residents.<ref>{{cite web |last=Thomsen |first=Mark |date=2001-10-01 |title=ShoreBank Surpasses $1 Billion in Community Development Investment |website=Social Funds |url=http://www.socialfunds.com/news/article.cgi/673.html |archive-date=2012-09-10 |archive-url=https://archive.today/20120910162601/http://www.socialfunds.com/news/article.cgi/673.html |access-date=January 8, 2007}}</ref> In a 1992 speech, then-Presidential candidate [[Bill Clinton]] called ShoreBank "the most important bank in America".<ref name="shorebank"/> On August 20, 2010, the bank was declared insolvent, closed by regulators and most of its assets were acquired by [[Urban Partnership Bank]].

In the mid-1970s, community organizations, under the banner of the NPA, worked to fight against redlining in South Austin, Illinois. One of these organizations was SACCC ([[South Austin Coalition Community Council]]), formed to restore South Austin's neighborhood and to fight against financial institutions accused of propagating redlining. This got the attention of insurance regulators in the Illinois Department of Insurance, as well as federal officers enforcing anti-racial discrimination laws.<ref name=tgr>{{cite news|title=Tengah Garden Residence |url=https://tengahgardenresidence.com.sg|access-date=May 31, 2025 }}</ref>


==Current issues==
=== Racial segregation in American cities ===
{{Main|African-American neighborhood}}

The United States Federal Government has enacted legislation since the 1970s to reduce the segregation of American cities. While many cities have reduced the amount of segregated neighborhoods, some still have clearly defined racial boundaries. Since 1990, the City of [[Chicago]] has been one of the most persistently racially segregated cities, despite efforts to improve mobility and reduce barriers. Other cities like [[Detroit]], [[Houston]], and [[Atlanta]] likewise have very pronounced black and white neighborhoods, the same neighborhoods that were originally redlined by financial institutions decades ago.<ref>{{cite news |url=https://www.washingtonpost.com/graphics/2018/national/segregation-us-cities/?noredirect=on |title=America is more diverse than ever — but still segregated |last1=Williams |first1=Aaron |last2=Emamdjomeh |first2=Armand |date=2018 |newspaper=The Washington Post |access-date=2019-05-13}}</ref> While other cities have made progress, this continued racial segregation has contributed to reduced [[economic mobility]] for millions of people.

Formerly redlined neighborhoods in places like Los Angeles have been shown to be more likely to have a [[gang injunction]] issued against them, as the work of geographer [[Stefano Bloch]] and anthropologist [[Susan A. Phillips]] shows.<ref>{{cite journal | url=https://journals.sagepub.com/doi/full/10.1177/00420980211010426 | doi=10.1177/00420980211010426 | title=Mapping and making gangland: A legacy of redlining and enjoining gang neighbourhoods in Los Angeles | year=2022 | last1=Bloch | first1=Stefano | last2=Phillips | first2=Susan A. | journal=Urban Studies | volume=59 | issue=4 | pages=750–770 | bibcode=2022UrbSt..59..750B | s2cid=236550571 | url-access=subscription }}</ref>

===Racial covenants: current efforts===

While racist covenants, conditions, and restrictions (CCRs) were ruled "unenforceable" by the U.S. Supreme Court in the landmark 1948 case Shelley v. Kraemer, this decision did not make them illegal; it only prevented courts from enforcing them. It was not until the passage of the federal Fair Housing Act of 1968 that such discriminatory practices were explicitly outlawed.<ref>{{cite web |title=Mapping Racist Covenants |url=https://mappingracistcovenants.org/ |website=Mapping Racist Covenants}}</ref>

;State-Level Legislation
* California: AB 1466, passed in 2021, requires county recorders to identify and redact discriminatory covenants from property records. This builds on earlier legislation that allowed homeowners to request the removal of such language.<ref>{{cite web |title=Restrictive Covenant Modification |url=https://sonomacounty.ca.gov/administrative-support-and-fiscal-services/clerk-recorder-assessor-registrar-of-voters/clerk-recorder/recorder-services/restrictive-covenant-modification |website=sonomacounty.ca.gov |language=en-us}}</ref>
* Washington: The state passed a law in 2021 that requires all real estate documents to be free from racially restrictive covenants and provides a process for property owners to have them removed.<ref>{{cite web |title=Racial covenants, a relic of the past, are still on the books across the country |url=https://www.wbez.org/stories/racial-covenants-a-relic-of-the-past-are-still-on-the-books-across-the-country/344b0dab-c079-4e99-b7d4-ca836d40b9bf |website=WBEZ Chicago |language=en |date=17 November 2021}}</ref>
* Minnesota: The Minnesota Legislature passed a law in 2019 that enables homeowners to remove racial covenants from their property deeds through a simple process. This law was heavily influenced by the [[Mapping Prejudice]] project, which has mapped and documented racial covenants in the Twin Cities.<ref>{{cite web |title=Geography of Race and Place {{!}} Inclusive Economic Development Lab |url=https://iedl.yale.edu/geography-race-and-place |website=iedl.yale.edu}}</ref>

;Public awareness and education
* Historical Research and Documentation: Projects like [[Mapping Prejudice]] in Minneapolis and the [[Seattle Civil Rights and Labor History Project]] have worked to document and publicize the extent of racial covenants, raising awareness about their historical impact.<ref>{{cite web |title=Mapping prejudice: A painful part of Minneapolis history |url=https://twin-cities.umn.edu/news-events/mapping-prejudice-painful-part-minneapolis-history |website=University of Minnesota |language=en |date=5 June 2020}}</ref>

;Digital archives and databases
Universities and nonprofits are creating searchable databases of racial covenants to help homeowners and researchers access information about these restrictive clauses.
* One resource is the Mapping Inequality: Redlining in New Deal America project, a collaborative effort involving the University of Richmond, Virginia Tech, and others. This project focuses on the maps and area descriptions produced by the Home Owners' Loan Corporation (HOLC) in the 1930s. It provides digitized HOLC maps showing redlined areas, detailed descriptions, and analyses of the impact of these practices on urban development. Mapping Inequality helps provide historical context for understanding the systemic nature of housing discrimination.<ref>{{cite web |title=Mapping Inequality |url=https://dsl.richmond.edu/panorama/redlining/ |website=dsl.richmond.edu |language=en}}</ref>
* The Seattle Civil Rights & Labor History Project at the University of Washington includes a comprehensive collection of documents related to racial covenants in Seattle. This project offers historical maps, property records, and oral histories documenting the experiences of affected communities. It supports educational initiatives and helps inform public policy on housing equity.<ref>{{cite web |title=Seattle Civil Rights and Labor History Project Seattle Civil Rights and Labor History Project |url=http://depts.washington.edu/civilr/index.htm |website=depts.washington.edu}}</ref>
* Redlining Louisville: Racial Capitalism and Real Estate, a project by the Louisville Metro Government, offers an interactive map showing the impact of redlining and racial covenants. It includes maps, narratives, and data sets that illustrate the long-term effects of these discriminatory practices.<ref>{{cite web |last1=Poe |first1=Joshua |title=Redlining Louisville: Racial Capitalism and Real Estate |url=https://sacred.omeka.net/items/show/310 |website=sacred.omeka.net |access-date=May 19, 2024 |archive-date=May 19, 2024 |archive-url=https://web.archive.org/web/20240519210503/https://sacred.omeka.net/items/show/310 }}</ref>

=== Race wealth gap ===
{{Main|Racial inequality in the United States#Racial wealth gap|Socioeconomic mobility in the United States}}The practice of redlining actively helped to create what is now known as the [[Racial inequality in the United States#Racial wealth gap|Racial Wealth Gap]] seen in the United States.<ref name=":0">{{Cite web |title=Systematic Inequality |last1=Hanks |first1=Angela |last2=Solomon |first2=Danyelle |last3=Weller |first3=Christian E. |website=Center for American Progress |date=February 21, 2018 |url=https://www.americanprogress.org/issues/race/reports/2018/02/21/447051/systematic-inequality/ |access-date=2018-12-17}}</ref>

According to studies from ''American Economic Journal'' <ref>{{Cite journal |last=Aaronson |first=Daniel |last2=Hartley |first2=Daniel |last3=Mazumder |first3=Bhashkar |date=2021 |title=The Effects of the 1930s HOLC “Redlining” Maps |url=https://www.jstor.org/stable/27087218 |journal=American Economic Journal: Economic Policy |volume=13 |issue=4 |pages=355–392 |issn=1945-7731}}</ref>'','' HOLC maps show how deeply those redlining grades shaped neighborhoods over time. Those areas that were labeled as 'D' in the 1930s didn't just struggle then but are continuing to face the following struggles today; lower home values, low number of homeowners, and higher levels of racial segregation for decades. These studies show that inequalities continue to remain seen in today's housing markets. 

Black families in America earned just $57.30 for every $100 in income earned by white families, according to the Census Bureau's Current Population Survey. For every $100 in white family wealth, black families hold just $5.04.<ref>{{Cite news |last=Badger |first=Emily |date=2017-09-18 |url=https://www.nytimes.com/interactive/2017/09/18/upshot/black-white-wealth-gap-perceptions.html,%20https://www.nytimes.com/interactive/2017/09/18/upshot/black-white-wealth-gap-perceptions.html |title=Whites Have Huge Wealth Edge Over Blacks (but Don't Know It) |work=The New York Times |access-date=2018-12-18 }}</ref> In 2016, the median wealth for black and Hispanic families was $17,600 and $20,700, respectively, compared with white families' median wealth of $171,000.<ref name=":0" /> The black-white [[wealth gap]] has not recovered from the Great Recession. In 2007, immediately before the Great Recession, the median wealth of blacks was nearly 14 percent that of whites. Although black wealth increased at a faster rate than white wealth in 2016, blacks still owned less than 10 percent of whites' wealth at the median.<ref name=":0" />

A multigenerational study of people from five race groups analyzed upward mobility trends in American cities.<ref>{{Cite report|doi=10.3386/w24441 |title=Race and Economic Opportunity in the United States: An Intergenerational Perspective |year=2018 |last1=Chetty |first1=Raj |last2=Hendren |first2=Nathaniel |last3=Jones |first3=Maggie R. |last4=Porter |first4=Sonya R. |id=NBER Working Paper No. w24441 |doi-access=free}} Later published as: {{Cite journal |doi=10.1093/qje/qjz042 |title=Race and Economic Opportunity in the United States: An Intergenerational Perspective |year=2019 |last1=Chetty |first1=Raj |last2=Hendren |first2=Nathaniel |last3=Jones |first3=Maggie R. |last4=Porter |first4=Sonya R. |journal=The Quarterly Journal of Economics |volume=135 |issue=2 |pages=711–783 |doi-access=free}}</ref> The study concluded that black men who grew up in racially segregated neighborhoods were substantially less likely to gain upward economic mobility, finding "black children born to parents in the bottom household income quintile have a 2.5% chance of rising to the top quintile of household income, compared with 10.6% for whites." Because of this intergenerational poverty, black households are "stuck in place" and are less able to grow wealth.

A 2017 study by Federal Reserve Bank of Chicago economists found that redlining—the practice whereby banks discriminated against the inhabitants of certain neighborhoods—had a persistent adverse impact on the neighborhoods, with redlining affecting homeownership rates, home values and credit scores in 2010.<ref>{{cite journal |doi=10.1257/pol.20190414 |title=The Effects of the 1930s HOLC 'Redlining' Maps |date=2021 |last1=Aaronson |first1=Daniel |last2=Hartley |first2=Daniel |last3=Mazumder |first3=Bhashkar |journal=American Economic Journal: Economic Policy |volume=13 |issue=4 |pages=355–392 |hdl=10419/200568 |s2cid=204505153 |url=https://www.chicagofed.org/~/media/publications/working-papers/2017/wp2017-12-pdf.pdf }}</ref><ref name=":16">{{Cite news |url=https://www.nytimes.com/2017/08/24/upshot/how-redlinings-racist-effects-lasted-for-decades.html |title=How Redlining's Racist Effects Lasted for Decades |last=Badger |first=Emily |date=2017-08-24 |work=The New York Times |access-date=2017-08-26 }}</ref> Since many African-Americans could not access conventional home loans, they had to turn to predatory lenders (who charged high interest rates).<ref name=":16" /> Due to lower home ownership rates, slumlords were able to rent out apartments that would otherwise be owned.<ref name=":16" />

=== Financial services ===
{{See also|Criticism of credit scoring systems in the United States}}

==== Student loans ====
In December 2007, a [[class action]] [[lawsuit]] was brought against student loan lending giant [[Sallie Mae]] in the [[United States District Court for the District of Connecticut]]. The class alleged that Sallie Mae discriminated against African American and [[Hispanic]] private student loan applicants.<ref>{{cite web |url=http://www.newamerica.net/files/sallie%20mae%20lawsuit.pdf |title=Sasha Rodriguez & Cathelyn Gregoire on Behalf of All Persons Similarly Situated vs. Sallie Mae (SLM) Corporation |publisher=New America Foundation |date=December 17, 2007 |access-date=March 6, 2017 |archive-url=https://web.archive.org/web/20141006133740/http://www.newamerica.net/files/sallie%20mae%20lawsuit.pdf |archive-date=2014-10-06 }}</ref> The case alleged that the factors Sallie Mae used to [[Underwriting|underwrite]] [[private student loans]] caused a [[disparate impact]] on students attending schools with higher minority populations. The suit also alleged that Sallie Mae failed to properly disclose loan terms to private student loan borrowers. The lawsuit was settled in 2011. The terms of the settlement included Sallie Mae agreeing to make a $500,000 donation to the [[United Negro College Fund]] and the attorneys for the plaintiffs receiving $1.8 million in attorneys' fees.<ref>{{cite web |url=https://ecf.ctd.uscourts.gov/doc1/04113074545 |title=SDSD District Version 1.3 |publisher=United States District Court for the District of Connecticut |access-date=July 25, 2014}}{{subscription required}}</ref><ref>{{Cite web |url=https://www.finaid.org/loans/discrimination.phtml |title=FinAid {{!}} Loans {{!}} Anti-Discrimination Rules for Education Lenders |website=www.finaid.org |access-date=2020-02-18 |archive-date=February 18, 2020 |archive-url=https://web.archive.org/web/20200218175228/https://www.finaid.org/loans/discrimination.phtml }}</ref>

==== Credit cards ====
[[Credit card]] redlining is a spatially discriminatory practice among credit card issuers, of providing different amounts of [[Credit score in the United States|credit]] to different areas, based on their ethnic-minority composition, rather than on economic criteria, such as the potential profitability of operating in those areas.<ref name=Cohen-Cole2011>{{Cite journal |doi=10.1162/REST_a_00052 |title=Credit Card Redlining |year=2011 |last1=Cohen-Cole |first1=Ethan |journal=Review of Economics and Statistics |volume=93 |issue=2 |pages=700–713 |ssrn=1098403 |s2cid=18480342}}</ref> Scholars assess certain policies, such as credit card issuers reducing credit lines of individuals with a record of purchases at retailers frequented by so-called "high-risk" customers, to be akin to redlining.<ref name=Cohen-Cole2011/>

==== Banks ====
Much of the economic impacts we find as a result of redlining and the banking system directly impact the African American community. Beginning in the 1960s, there was a large influx of black [[veteran]]s and their families moving into suburban white communities. As blacks moved in, whites moved out and the market value of these homes dropped dramatically. In observation of said market values, bank lenders were able to keep close track by literally drawing red lines around the neighborhoods on a map. These lines signified areas that they would not invest in. By way of racial redlining, not only banks but savings and loans companies, insurance companies, grocery chains, and even pizza delivery companies thwarted economic vitality in black communities.<ref>{{Cite journal |jstor=3132626 |title=Environmental Justice in the 21st Century: Race Still Matters |last1=Bullard |first1=Robert D. |journal=Phylon |volume=49 |issue=3/4 |pages=151–171 |year=2001 |doi=10.2307/3132626 |url=https://uwosh.edu/sirt/wp-content/uploads/sites/86/2017/08/Bullard_Environmental-Justice-in-the-21st-Century.pdf}}</ref> The severe lacking in civil rights laws in combination with the economic impact led to the passing of the [[Community Reinvestment Act]] in 1977.

Racial and economic redlining set the people who live in these communities up for failure from the start, so much so that banks would often deny people who came from these areas bank loans or offered them at stricter repayment rates. As a result, there was a very low rate at which people (in particular African Americans) were able to own their homes; opening the door for [[Slumlord|slum landlords]] (who could get approved for low interest loans in those communities) to take over and do as they saw fit.<ref>{{Cite journal |doi=10.1016/S0094-1190(02)00508-9 |title=Redlining, the Community Reinvestment Act, and private mortgage insurance |journal=Journal of Urban Economics |volume=55 |issue=2 |pages=278–297 |year=2004 |last1=Ross |first1=Stephen L. |last2=Tootell |first2=Geoffrey M.B. |url=https://opencommons.uconn.edu/cgi/viewcontent.cgi?article=1311&context=econ_wpapers |citeseerx=10.1.1.194.5280}}</ref>

==== Insurance ====
Gregory D. Squires wrote in 2003 that data showed that race continues to affect the policies and practices of the insurance industry.<ref name="Squires2016">{{cite journal |doi=10.1111/1467-9906.t01-1-00168 |title=Racial Profiling, Insurance Style: Insurance Redlining and the Uneven Development of Metropolitan Areas |journal=Journal of Urban Affairs |volume=25 |issue=4 |pages=391–410 |year=2016 |last1=Squires |first1=Gregory D |s2cid=10070258}}</ref> [[Racial profiling]] or redlining has a long history in the property-insurance industry in the United States.<ref name="Journal of American History 2021"/> From a review of industry underwriting and marketing materials, court documents, and research by government agencies, industry and community groups, and academics, it is clear that race has long affected and continues to affect the policies and practices of the insurance industry.<ref name="Squires2016" /> Home-insurance agents may try to assess the ethnicity of a potential customer just by telephone, affecting what services they offer to inquiries about purchasing a home insurance policy. This type of discrimination is called [[Linguistic Profiling|linguistic profiling]].<ref name="SquiresChadwick2006">{{cite journal |doi=10.1177/1078087405281064 |title=Linguistic Profiling |journal=Urban Affairs Review |volume=41 |issue=3 |pages=400–15 |year=2016 |last1=Squires |first1=Gregory D |last2=Chadwick |first2=Jan |s2cid=154136739}}</ref> There have also been concerns raised about redlining in the [[car insurance|automotive insurance]] industry.<ref>{{cite web |title=Michigan to crack down on uninsured drivers |url=http://www.itd.idaho.gov/transporter/2003/080803_Trans/080803_MIuninsured.html |author=Karen Bouffard |archive-url=https://web.archive.org/web/20071128033237/http://www.itd.idaho.gov/transporter/2003/080803_Trans/080803_MIuninsured.html |archive-date=2007-11-28 |work=[[The Detroit News]] |via=Idaho Transportation Department }}</ref> Reviews of [[insurance score]]s based on credit are shown to have unequal results by ethnic group. The Ohio Department of Insurance in the early 21st century allows insurance providers to use maps and collection of demographic data by ZIP code in determining insurance rates. The FHEO Director of Investigations at the [[United States Department of Housing and Urban Development|Department of Housing and Urban Development]], Sara Pratt, wrote:<ref>{{Cite web |url=https://fairhousing.com/resources/history-insurance-redlining |title=The History of Insurance Redlining |website=National Fair Housing Advocate Online |access-date=2017-03-16 |archive-date=2017-03-17 |archive-url=https://web.archive.org/web/20170317143050/https://fairhousing.com/resources/history-insurance-redlining }}</ref>

<blockquote>Like other forms of discrimination, the history of insurance redlining began in conscious, overt racial discrimination practiced openly and with significant community support in communities throughout the country. There was documented overt discrimination in practices relating to residential housing—from the appraisal manuals which established an articulated "policy" of preferences based on race, religion and national origin. to lending practices which only made loans available in certain parts of town or to certain borrowers, to the decision-making process in loans and insurance which allowed the insertion of discriminatory assessments into final decisions about either.</blockquote>

==== Mortgages ====
In reverse redlining, lenders and insurers target minority consumers by charging them more than a similarly situated white consumer would be charged, specifically marketing the most expensive and onerous loan products. In the 2000s, some financial institutions considered black communities as suitable for subprime mortgages. [[Wells Fargo]] partnered with churches in black communities, where pastors would deliver "wealth building" sermons encouraging new mortgage applications. The bank would then make a donation to the church in return for every new application. Many working-class blacks wanted to be included in the nation's home-owning trend. Instead of empowering them to contribute to homeownership and community progress, predatory lending practices through reverse redlining stripped the equity homeowners sought and drained the wealth of those communities for the enrichment of [[Financial institution|financial firms]]. The growth of [[subprime lending]], higher cost loans to borrowers with flaws on their credit records, prior to the [[2008 financial crisis]], coupled with growing law enforcement activity in those areas, clearly showed a surge in manipulative practices. Not all subprime loans were predatory, but virtually all [[Predatory lending|predatory loans]] were subprime. Predatory loans are dangerous because they charge unreasonably higher rates and fees compared to the risk, trapping homeowners in unaffordable debt and often costing them their homes and life savings.<ref name="The Recession's Racial Divide">{{cite news |last1=Ehrenreich |first1=Barbara |last2=Muhammad |first2=Dedrick |date=September 13, 2009 |title=The Recession's Racial Divide |work=The New York Times |url=https://www.nytimes.com/2009/09/13/opinion/13ehrenreich.html?pagewanted=print}}</ref><ref name="Powell">{{cite news |last=Powell |first=Michael |date=June 7, 2009 |title=Bank Accused of Pushing Mortgage Deals on Blacks |work=The New York Times |url=https://www.nytimes.com/2009/06/07/us/07baltimore.html}}</ref>

A survey of two districts of similar incomes, one being largely white and the other largely black, found that bank branches in the black community offered exclusively subprime loans. Studies found out that high-income blacks were almost twice as likely to end up with subprime home-purchase mortgages compared to low-income whites. Fueled by deep racism, some loan officers referred to blacks as "mud people" and to subprime lending as "ghetto loans".<ref name="The Recession's Racial Divide"/><ref name="Powell"/><ref>{{cite web |url=http://www.marketwatch.com/story/minority-families-face-wave-of-foreclosures |title=Minority families face wave of foreclosures: Consumer groups urge more 'teeth' in laws combating predators |first=Ruth |last=Mantell |date=July 6, 2007 |access-date=December 22, 2009 |website=marketwatch}}</ref> Lower savings rate and distrust of banks, stemming from this legacy of redlining, may explain why there are fewer financial institutions in minority neighborhoods. In the early 21st century, brokers and telemarketers actively encouraged subprime mortgages to be offered to minority residents. A majority of the loans were refinance transactions, allowing homeowners to take cash out of their appreciating property or pay off credit card and other debt.<ref>{{cite news |url=https://www.nytimes.com/2007/11/04/weekinreview/04bajaj.html |work=The New York Times |first1=Vikas |last1=Bajaj |first2=Ford |last2=Fessenden |title=What's Behind the Race Gap? |date=November 4, 2007}}</ref>

Redlining has helped preserve [[residential segregation in the United States|residential segregation]] between blacks and whites in the United States. Lending institutions such as [[Wells Fargo]] have shown that they treat black mortgage applicants differently when they are buying homes in white neighborhoods than when buying homes in black neighborhoods by offering them subprime and predatory loans when black residents try and integrate neighborhoods.<ref name="The Recession's Racial Divide" /><ref name="Powell" /><ref>{{Cite journal |jstor=2564210 |title=Exploring the Neighborhood Contingency of Race Discrimination in Mortgage Lending in Columbus, Ohio |last1=Holloway |first1=Steven R. |journal=Annals of the Association of American Geographers |volume=88 |issue=2 |pages=252–276 |year=1998 |doi=10.1111/1467-8306.00093 |bibcode=1998AAAG...88..252H }}</ref>

The inequality in loaning extends past residential to commercial loans as well; Dan Immergluck writes that in 2002, small businesses in black neighborhoods received fewer loans, even after accounting for business density, business size, industrial mix, neighborhood income, and the credit quality of local businesses.<ref>{{Cite journal |doi=10.1177/107808702401097781 |title=Redlining Redux: Black Neighborhoods, Black-Owned Firms, and the Regulatory Cold Shoulder |journal=Urban Affairs Review |volume=38 |issue=1 |pages=22–41 |year=2002 |last1=Immergluck |first1=Dan |s2cid=153818729 |url=https://scholarworks.gvsu.edu/cgi/viewcontent.cgi?article=1003&context=spnha_articles}}</ref>

Several State Attorneys General have begun investigating these de facto practices, which may violate fair lending laws. The [[National Association for the Advancement of Colored People|NAACP]] filed a class-action lawsuit charging systematic racial discrimination by more than a dozen banks.

These are not isolated incidents. According to the US Department of Justice, since 2021 alone, the department has announced 11 redlining cases and secured over $109 million in relief for communities of color that have been the victims of lending discrimination nationwide.<ref name="justice.gov">{{cite web |title=Office of Public Affairs {{!}} Justice Department Reaches Settlement with Wells Fargo Resulting in More Than $175 Million in Relief for Homeowners to Resolve Fair Lending Claims {{!}} United States Department of Justice |url=https://www.justice.gov/opa/pr/justice-department-reaches-settlement-wells-fargo-resulting-more-175-million-relief |website=www.justice.gov |access-date=5 April 2024 |language=en |date=12 July 2012}}</ref> The three most wealthy banks in the US, [[Bank of America]], [[JPMorgan Chase]], and [[Wells Fargo]] have all been discovered participating in discriminatory lending.

Wells Fargo, the largest residential home mortgage originator in the United States settled a lawsuit in 2012 after it was discovered they were using discriminatory lending practices against African-American and Hispanic borrowers between 2004 and 2009. This settlement, the second largest fair lending settlement in the history of the [[United States Department of Justice]], involves compensation of $184.3 million for wholesale borrowers who were steered into subprime mortgages or charged higher fees and rates than white borrowers due to their race or national origin. Wells Fargo agreed to provide $50 million in direct down payment assistance to affected communities.<ref>{{cite web |last1=Savage |first1=Charlie |title=Wells Fargo Will Settle Mortgage Bias Charges |url=https://www.nytimes.com/2012/07/13/business/wells-fargo-to-settle-mortgage-discrimination-charges.html |website=The New York Times |access-date=5 April 2024 |date=12 July 2012}}</ref><ref name="justice.gov"/> In this suit, it was shown that in 2007 customers in the Chicago area who borrowed $300,000 from Wells Fargo through an independent broker had on average paid $2,937 more in broker fees if African-American, and $2,187 more if Hispanic, compared with white borrowers with similar credit risk.<ref name="nytimes.com">{{cite web |last1=Savage |first1=Charlie |title=Countrywide Will Settle a Bias Suit |url=https://www.nytimes.com/2011/12/22/business/us-settlement-reported-on-countrywide-lending.html |website=The New York Times |access-date=5 April 2024 |date=21 December 2011}}</ref>

In 2011, [[Bank of America]], the second largest bank in the U.S. settled a lawsuit for $335 million. The lawsuit alleged that the bank charged higher fees and interest rates to African American and Hispanic borrowers compared to white borrowers with similar credit profiles.<ref name="nytimes.com"/> These citizens were completely taken advantage of. "Chances are, the victims had no idea they were being victimized, It was discrimination with a smile" said [[Thomas E. Perez]], the Justice Department's assistant attorney general for civil rights. More recently, in 2017, [[JPMorgan Chase]] settled a lawsuit for $55 million. The lawsuit again alleged that the bank charged higher interest rates and fees to minority borrowers than to white borrowers with similar credit profiles for mortgage loans between 2006 and 2009.<ref>{{cite web |last1=Corkery |first1=Michael |title=JPMorgan to Pay $55 Million to Settle Mortgage Discrimination Complaint |url=https://www.nytimes.com/2017/01/18/business/dealbook/jpmorgan-55-million-mortgage-discrimination-settlement.html |website=The New York Times |access-date=5 April 2024 |date=18 January 2017}}</ref>

A quantitative analysis examining trends in racial discrimination in the U.S. housing market from 1976 to 2016 found that discrimination by the means of direct denial of mortgage rates has significantly decreased since the 1970s, but that racial gaps in mortgage costs have not.<ref name=":7">{{Cite journal |last1=Quillian |first1=Lincoln |last2=Lee |first2=John J. |last3=Honoré |first3=Brandon |date=March 2020 |title=Racial Discrimination in the U.S. Housing and Mortgage Lending Markets: A Quantitative Review of Trends, 1976–2016 |url=http://link.springer.com/10.1007/s12552-019-09276-x |journal=Race and Social Problems |language=en |volume=12 |issue=1 |pages=13–28 |doi=10.1007/s12552-019-09276-x |issn=1867-1748|url-access=subscription }}</ref> In addition, they found that the probability of receiving a response to an initial inquiry is 8% lower among blacks, 4% lower among Hispanics, and 3% lower among Asians compared to whites.<ref name=":7" />

=== Environmental racism ===
{{Main|Environmental racism}}

{{See also|Race and health}}

Neighborhoods' current socioeconomic susceptibility is impacted by the historical redlining in the 1930s, one of several racist and discriminatory practices. Redlined communities continued to be segregated by race and economic status as a result of this discriminatory strategy, which was based on racial demography and perceived risk for mortgage investment. Which leads to investments in those areas being less likely. Policies related to redlining and [[urban decay]] can also act as a form of environmental racism, which in turn affect public health. Urban minority communities may face environmental racism in the form of parks that are smaller, less accessible and of poorer quality than those in more affluent or white areas in some cities, which may have an indirect effect on health, since young people have fewer places to play, and adults have fewer opportunities for exercise.<ref name="parks2">{{cite web |author=Angela Rowen |title=Minority Communities Need More Parks, Report Says |url=http://www.berkeleydaily.org/text/article.cfm?issue=11-13-07&storyID=28458 |archive-url=https://web.archive.org/web/20080220064123/http://www.berkeleydaily.org/text/article.cfm?issue=11-13-07&storyID=28458 |archive-date=February 20, 2008 |access-date=November 14, 2007 |work=The Berkeley Daily Planet}}</ref> A 2022 study published in the journal Environmental Science & Technology Letters found redlined areas in 202 US cities had higher levels of air pollution ([[nitrogen dioxide]] and [[fine particulate matter]]) in 2010.<ref name="acs2">{{Cite journal |last1=Lane |first1=Haley M. |last2=Morello-Frosch |first2=Rachel |last3=Marshall |first3=Julian D. |last4=Apte |first4=Joshua S. |date=2022-03-09 |title=Historical Redlining Is Associated with Present-Day Air Pollution Disparities in U.S. Cities |journal=Environmental Science & Technology Letters |volume=9 |issue=4 |pages=345–350 |bibcode=2022EnSTL...9..345L |doi=10.1021/acs.estlett.1c01012 |pmc=9009174 |pmid=35434171}}</ref> One of the most important environmental risk factors, exposure to combustion-related air pollutants is directly linked to a host of health effects, such as cardiovascular disease, respiratory conditions, and cardiovascular death. African-Americans are 75 percent more likely than others to live near facilities that produce hazardous waste and pollutants.<ref name=":62">{{Cite news |last=Villarosa |first=Linda |date=2020-07-28 |title=Pollution Is Killing Black Americans. This Community Fought Back. |url=https://www.nytimes.com/2020/07/28/magazine/pollution-philadelphia-black-americans.html |access-date=2023-04-24 |work=The New York Times |issn=0362-4331}}</ref> Philadelphia, which has a 44 percent Black population, received a warning from the American Lung Association in 2019: "If you live in Philadelphia County, the air you breathe may put your health at risk."<ref name=":62" /> It was found that a refinery in Grays Ferry, Philadelphia, is responsible for most of the toxic air emissions in the city.<ref name=":62" /> The refinery had not been in compliance with the Clean Air Act for 9 out of the 12 quarters through 2019.<ref name=":62" />

Professor Kyung Hwa Jung of Columbia University's College of Physicians and Surgeons wrote in 2022 on the legacy of residential redlining in American history and its implications for the temporal patterns of air pollution surrounding schools in New York City today. Using land-use regression models from the NYC Community Air Survey, they looked at the annual average concentrations of combustion-related air pollutants (black carbon (BC), particulate matter (PM2.5), nitrogen dioxide (NO<sub>2</sub>), and nitric oxide (NO)) in a 250-meter radius around schools.<ref>{{Cite journal |last1=Hwa Jung |first1=Kyung |last2=Pitkowsky |first2=Zachary |last3=Argenio |first3=Kira |last4=Quinn |first4=James W. |last5=Bruzzese |first5=Jean-Marie |last6=Miller |first6=Rachel L. |last7=Chillrud |first7=Steven N. |last8=Perzanowski |first8=Matthew |last9=Stingone |first9=Jeanette A. |last10=Lovinsky-Desir |first10=Stephanie |date=2022-11-01 |title=The effects of the historical practice of residential redlining in the United States on recent temporal trends of air pollution near New York City schools |journal=Environment International |volume=169 |article-number=107551 |doi=10.1016/j.envint.2022.107551 |pmid=36183489 |pmc=9616211 |bibcode=2022EnInt.16907551H |issn=0160-4120}}</ref> They concentrated on schools because, given how densely populated New York City is, a 2006 study that was cited suggested that schools may be a significant source of exposure to BC and PM2.5 because they are frequently situated close to busy roads and heavy truck routes. in which "6.4 million US children attended schools within 250 m of a major roadway and were likely exposed to high levels of traffic pollution"<ref>{{Cite journal |last1=Kingsley |first1=Samantha L. |last2=Eliot |first2=Melissa N. |last3=Carlson |first3=Lynn |last4=Finn |first4=Jennifer |last5=MacIntosh |first5=David L. |last6=Suh |first6=Helen H. |last7=Wellenius |first7=Gregory A. |date=May 2014 |title=Proximity of US schools to major roadways: a nationwide assessment |journal=Journal of Exposure Science & Environmental Epidemiology |language=en |volume=24 |issue=3 |pages=253–259 |doi=10.1038/jes.2014.5 |pmid=24496217 |pmc=4179205 |bibcode=2014JESEE..24..253K |issn=1559-064X}}</ref> Moreover, a recent study discovered that historical redlining in American cities has been connected to differences in air pollution levels, with greater levels of PM2.5 and NO<sub>2</sub> in redlined communities than in non-redlined regions. Black, Hispanic, and Asian individuals are generally more exposed to PM2.5 than white individuals are. Black and Hispanic groups are also more exposed to BC, even when socioeconomic status has been taken into account.<ref>{{Cite journal |last1=Tessum |first1=Christopher W. |last2=Paolella |first2=David A. |last3=Chambliss |first3=Sarah E. |last4=Apte |first4=Joshua S. |last5=Hill |first5=Jason D. |last6=Marshall |first6=Julian D. |date=2021-04-30 |title=PM 2.5 polluters disproportionately and systemically affect people of color in the United States |journal=Science Advances |language=en |volume=7 |issue=18 |article-number=eabf4491 |doi=10.1126/sciadv.abf4491 |pmid=33910895 |pmc=11426197 |bibcode=2021SciA....7.4491T |issn=2375-2548}}</ref> Kyung Hwa Jung's study came up with the same results, indicating that, compared to other areas, historically redlined communities in New York City had greater rates of Black people, deprivation, socioeconomic vulnerability, and inferior youth opportunity. They also had higher diesel emissions and a larger density of local truck routes. Despite the fact that pollution levels in NYC have decreased compared to historical levels due to recent environmental laws, non-redlined neighborhoods still exhibit significant levels of air pollution.

In 1990, Robert Wallace wrote that the pattern of the [[AIDS]] outbreak during the 1980s was affected by the outcomes of a program of "[[planned shrinkage]]" directed at African-American and Hispanic communities. It was implemented through systematic denial of municipal services, particularly fire protection resources, essential to maintain urban levels of population density and ensure community stability.<ref>{{Cite journal |last1=Wallace |first1=R. |year=1990 |title=Urban desertification, public health and public order: 'planned shrinkage', violent death, substance abuse and AIDS in the Bronx |journal=Social Science & Medicine |volume=31 |issue=7 |pages=801–13 |doi=10.1016/0277-9536(90)90175-r |pmid=2244222}}</ref> [[Institutionalized racism]] affects general health care as well as the quality of AIDS health intervention and services in minority communities. The over-representation of minorities in various disease categories, including AIDS, is partially related to environmental racism. The national response to the AIDS epidemic in minority communities was slow during the 1980s and 1990s, showing an insensitivity to ethnic diversity in prevention efforts and AIDS health services.<ref>{{Cite journal |last1=Hutchinson |first1=J. |year=1992 |title=AIDS and racism in America |journal=Journal of the National Medical Association |volume=84 |issue=2 |pages=119–124 |pmc=2637751 |pmid=1602509}}</ref>

[[Environmental justice]] scholars such as Laura Pulido, Department Head of [[Ethnic Studies]] and Professor at the [[University of Oregon]], and [[David Pellow]], Dehlsen and Department Chair of [[Environmental studies|Environmental Studies]] and Director of the Global Environmental Justice Project at the [[University of California, Santa Barbara]], argue that recognizing environmental racism as an element stemming from the entrenched legacies of [[racial capitalism]] is crucial to the movement, with [[white supremacy]] continuing to shape human relationships with nature and labor.<ref>{{cite journal |last1=Pulido |first1=Laura |last2=De Lara |first2=Juan |date=March 2018 |title=Reimagining 'justice' in environmental justice: Radical ecologies, decolonial thought, and the Black Radical Tradition |journal=Environment and Planning E: Nature and Space |volume=1 |issue=1–2 |pages=76–98 |bibcode=2018EnPlE...1...76P |doi=10.1177/2514848618770363 |s2cid=149765978 |doi-access=free}}</ref><ref>{{cite journal |last1=Pellow |first1=David |last2=Vazin |first2=Jasmine |date=January 2019 |title=The Intersection of Race, Immigration Status, and Environmental Justice |journal=Sustainability |volume=11 |issue=14 |page=3942 |doi=10.3390/su11143942 |doi-access=free|bibcode=2019Sust...11.3942P }}</ref><ref>{{cite journal |last1=Pulido |first1=Laura |date=August 2017 |title=Geographies of race and ethnicity II: Environmental racism, racial capitalism and state-sanctioned violence |journal=Progress in Human Geography |volume=41 |issue=4 |pages=524–533 |doi=10.1177/0309132516646495 |s2cid=147792869}}</ref>

=== Digital redlining ===
{{Main|Digital redlining}}

''Digital redlining'' is a term used to refer to the practice of creating and perpetuating inequities between racial, cultural, and class groups specifically through the use of digital technologies, digital content, and the internet.<ref>{{Cite web |last=Gilliard |first=Chris |date=2016-05-24 |website=Common Sense Education |url=https://www.commonsense.org/education/privacy/blog/digital-redlining-access-privacy |title=Digital Redlining, Access, and Privacy |access-date=2019-03-31 |archive-url=https://web.archive.org/web/20190331024731/https://www.commonsense.org/education/privacy/blog/digital-redlining-access-privacy |archive-date=March 31, 2019 }}</ref><ref>{{Cite news |last1=Taylor |first1=Astra |date=2015-05-27 |title=How Companies Turn Your Facebook Activity Into a Credit Score |url=https://www.thenation.com/article/how-companies-turn-your-facebook-activity-credit-score/ |access-date=2019-03-31 |last2=Sadowski |first2=Jathan |work=The Nation |archive-date=March 31, 2019 |archive-url=https://web.archive.org/web/20190331024730/https://www.thenation.com/article/how-companies-turn-your-facebook-activity-credit-score/}}</ref> ''Digital redlining'' is an extension of the historical housing discrimination practice of redlining to include an ability to discriminate against vulnerable classes of society using algorithms, connected digital technologies, and big data.<ref>{{cite web |last1=Podesta |first1=John |last2=Pritzker |first2=Penny |last3=Moniz |first3=Earnest J. |last4=Holdren |first4=John |last5=Zients |first5=Jeffery |date=May 2014 |title=Big Data: Seizing Opportunities, Preserving Values |page=46 |url=https://obamawhitehouse.archives.gov/sites/default/files/docs/big_data_privacy_report_may_1_2014.pdf |access-date=March 30, 2019 |website=Whitehouse.gov}}</ref><ref>{{Cite web |last=Gilliard |first=Chris |date=2017-07-03 |url=https://er.educause.edu/articles/2017/7/pedagogy-and-the-logic-of-platforms |title=Pedagogy and the Logic of Platforms |website=EDUCAUSE Review |access-date=2019-04-04}}</ref> This extension of the term tends to include both geographically based and non-geographically based discrimination. For example, in March 2019 the [[United States Department of Housing and Urban Development]] (HUD) charged [[Facebook]] with housing discrimination over the company's targeted advertising practices.<ref name=":1">{{Cite web |url=https://www.hud.gov/press/press_releases_media_advisories/HUD_No_19_035 |title=HUD Charges Facebook With Housing Discrimination Over Company's Targeted Advertising Practices |date=2019-03-28 |website=www.hud.gov |access-date=2019-03-31 |archive-url=https://web.archive.org/web/20190331013138/https://www.hud.gov/press/press_releases_media_advisories/HUD_No_19_035 |archive-date=2019-03-31 }}</ref> While these charges included geographically based targeting in the form of a tool that allowed advertisers to draw a red line on a map; they also included non-geographically based methods that did not use maps but rather utilized algorithmic targeting using Facebook's user profile information to directly exclude specific groups of people. A press release from HUD on March 28, 2019, stated that HUD was charging that "Facebook enabled advertisers to exclude people whom Facebook classified as parents; non-American-born; non-Christian; interested in accessibility; interested in Hispanic culture; or a wide variety of other interests that closely align with the [[Civil Rights Act of 1968|Fair Housing Act]]'s protected classes."<ref name=":1"/>

=== Political redlining ===
Political redlining is the process of restricting the supply of political information with assumptions about demographics and present or past opinions.<ref>{{Cite book |title=New Media Campaigns and the Managed Citizen |last=Howard |first=Philip |author-link=Philip N. Howard |year=2005 |publisher=Cambridge University Press |location=New York |isbn=978-0-521-61227-2 |page=[https://archive.org/details/newmediacampaign0000howa/page/132 132] |url=https://archive.org/details/newmediacampaign0000howa/page/132}}</ref> It occurs when political campaign managers delimit which population is less likely to vote and design information campaigns only with likely voters in mind. It can also occur when politicians, lobbyists, or political campaign managers identify which communities to actively discourage from voting through [[voter suppression]] campaigns.<ref>{{cite news |url=https://www.washingtonpost.com/technology/2018/12/16/new-report-russian-disinformation-prepared-senate-shows-operations-scale-sweep/ |title=New report on Russian disinformation, prepared for the Senate, shows the operation's scale and sweep |last1=Timberg |first1=Craig |last2=Romm |first2=Tony |date=2018 |newspaper=The Washington Post |access-date=2019-07-21}}</ref><ref>{{cite web |url=https://www.theatlantic.com/politics/archive/2016/10/trumps-black-voter-dilemma/505586/ |title=Trump's 'Voter Suppression Operation' Targets Black Voters |last1=Graham |first1=David |date=2016 |website=The Atlantic |access-date=2019-07-21}}</ref>

=== Redlining and Health Inequality ===

According to ''Journal of General Internal Medicine'' <ref>{{Cite journal |last=Egede |first=Leonard E. |last2=Walker |first2=Rebekah J. |last3=Campbell |first3=Jennifer A. |last4=Linde |first4=Sebastian |last5=Hawks |first5=Laura C. |last6=Burgess |first6=Kaylin M. |date=2023-05-01 |title=Modern Day Consequences of Historic Redlining: Finding a Path Forward |url=https://doi.org/10.1007/s11606-023-08051-4 |journal=Journal of General Internal Medicine |language=en |volume=38 |issue=6 |pages=1534–1537 |doi=10.1007/s11606-023-08051-4 |issn=1525-1497 |pmc=9901820 |pmid=36746831}}</ref>'','' redlining and other forms of [https://www.apha.org/policy-and-advocacy/public-health-policy-briefs/policy-database/2021/01/13/structural-racism-is-a-public-health-crisis structural racism] still shape people's health today. It outlines that neighborhoods affected by redlining are the ones that typically face higher rates of illness like diabetes, heart disease, and hypertension. Due to limited access to good housing, healthy foods, and medical care, and the struggle of getting access to insurance.<ref>Kraus, N. T., Connor, S., Shoda, K., Moore, S. E., & Irani, E. (2024). Historic Redlining and Health Outcomes: A Systematic Review. Public Health Nursing, 41, 287–296. https://doi.org/10.1111/phn.13276</ref> A systematic review and meta-analysis in 2022 found that women living in historically redlined areas had significantly higher odds of preterm birth compared to those in non-redlined areas.<ref>Lee EK, Donley G, Ciesielski TH, Gill I, Yamoah O, Roche A, Martinez R, Freedman DA. Health outcomes in redlined versus non-redlined neighborhoods: A systematic review and meta-analysis. Soc Sci Med. 2022 Feb;294:114696. doi: 10.1016/j.socscimed.2021.114696</ref> Research published in Proceedings of the National Academy of Sciences found associations between historical redlining and cardiovascular health outcomes.<ref>Mujahid MS, Gao X, Tabb LP, Morris C, Lewis TT. Historical redlining and cardiovascular health: The Multi-Ethnic Study of Atherosclerosis. Proc Natl Acad Sci U S A. 2021 Dec 21;118(51):e2110986118. doi: 10.1073/pnas.2110986118. PMID: 34903653; PMCID: PMC8713797</ref>

Health inequality in the United States persists today as a direct result of the effects of redlining. Health in America is synonymous with wealth, both of which minority groups have been denied as a result of discriminatory practices. Wealth affords the privilege of living in a neighborhood or community with clean air, pure water, outdoor spaces and places for recreation and exercise, safe streets during the day and night, infrastructure that supports the growth of intergenerational wealth through access to good schools, healthy food, public transportation, and opportunities to connect, belong, and contribute to the surrounding community. Wealth also provides stability of home as those with capital are not confined to the deteriorating housing stock that minority groups who were redlined were forced to try and rehabilitate without access to loans.<ref>"In sickness and in wealth" Unnatural Causes. www.unnaturalcauses.org.{{full citation needed|date=June 2023}}</ref><ref>{{cite web |title=Housing and Homelessness as a Public Health Issue |publisher=APHA |id=Policy Brief 20178 |date=Nov 7, 2017 |url=https://www.apha.org/policies-and-advocacy/public-health-policy-statements/policy-database/2018/01/18/housing-and-homelessness-as-a-public-health-issue |access-date=2023-06-28}}</ref><ref>{{cite journal |last1=Beauchamp |first1=Dan E. |title=Public Health as Social Justice |journal=Inquiry |date=1976 |volume=13 |issue=1 |pages=3–14 |pmid=130348 |jstor=29770972}}</ref><ref>{{cite journal |last1=Link |first1=Bruce G. |last2=Phelan |first2=Jo |title=Social Conditions As Fundamental Causes of Disease |journal=Journal of Health and Social Behavior |date=1995 |volume=Spec No |issue=Extra Issue |pages=80–94 |id={{ProQuest|201654321}} |doi=10.2307/2626958 |jstor=2626958 |pmid=7560851 |hdl=1903/24678 |hdl-access=free}}</ref><ref>{{cite journal |last1=Bailey |first1=Zinzi D |last2=Krieger |first2=Nancy |last3=Agénor |first3=Madina |last4=Graves |first4=Jasmine |last5=Linos |first5=Natalia |last6=Bassett |first6=Mary T |title=Structural racism and health inequities in the USA: evidence and interventions |journal=The Lancet |date=April 2017 |volume=389 |issue=10077 |pages=1453–1463 |doi=10.1016/S0140-6736(17)30569-X |pmid=28402827 |s2cid=4669313}}</ref>

==== Cancer Outcomes ====
Another outcome associated with redlining is varying cancer outcomes. For example, a study published in the ''Journal of the American Medical Association''  found non-redlined areas to have more favorable breast cancer outcomes among non-Latina white women.<ref>{{Cite journal |last1=Plascak |first1=Jesse J. |last2=Beyer |first2=Kirsten |last3=Xu |first3=Xinyi |last4=Stroup |first4=Antoinette M. |last5=Jacob |first5=Gabrielle |last6=Llanos |first6=Adana A. M. |date=2022-07-08 |title=Association Between Residence in Historically Redlined Districts Indicative of Structural Racism and Racial and Ethnic Disparities in Breast Cancer Outcomes |journal=JAMA Network Open |volume=5 |issue=7 |pages=e2220908 |doi=10.1001/jamanetworkopen.2022.20908 |pmid=35802373 |pmc=9270695 |issn=2574-3805}}</ref> A 2023 study published in the J''ournal of the American College of Surgeons'' found that, beyond cancer outcomes, redlining also contributes to lower cancer screening rates.<ref>{{Cite journal |last1=Moazzam |first1=Zorays |last2=Woldesenbet |first2=Selamawit |last3=Endo |first3=Yutaka |last4=Alaimo |first4=Laura |last5=Lima |first5=Henrique A. |last6=Cloyd |first6=Jordan |last7=Dillhoff |first7=Mary |last8=Ejaz |first8=Aslam |last9=Pawlik |first9=Timothy M. |date=2023-09-01 |title=Association of Historical Redlining and Present-Day Social Vulnerability with Cancer Screening |journal=Journal of the American College of Surgeons |volume=237 |issue=3 |pages=454–464 |doi=10.1097/XCS.0000000000000779 |issn=1879-1190 |pmid=37318132}}</ref> Specifically, the study found that, in redlined versus non-redlined neighborhoods, there were 24% lower odds of being screened for breast cancer, 64% lower odds for colorectal cancer, and 79% lower odds in cervical cancer. It is important that strategies to combat screening disparities be structurally competent and location-specific, as Amanda Harper, senior staff writer at Ohio State's Comprehensive Cancer Center – James Cancer Hospital and Solove Research Institute writes.<ref>{{Cite web |date=2023-09-19 |title=Historic discrimination affects cancer screening rates |url=https://health.osu.edu/health/cancer/redlining-and-lower-cancer-screenings |access-date=2024-04-15 |website=health.osu.edu |language=en}}</ref> For example, if transportation is a barrier, travel vouchers or mobile clinics should be employed. The health inequalities that arise from redlining manifest in many forms, and cancer outcomes and screening are two ways redlined communities present differences when compared to non-redlined communities.

==== Life Expectancy ====
Overall [[life expectancy]] has improved, but there are still discrepancies between the life expectancies of different racial groups.<ref name=":02">{{Cite web |last1=Richardson |first1=Jason |last2=Mitchell |first2=Bruce C. |last3=Meier |first3=Helen C.S. |last4=Lynch |first4=Emily |last5=Edlebi |first5=Jad |date=September 10, 2020 |title=Redlining and Neighborhood Health |url=https://ncrc.org/holc-health/#:~:text=On%20average%2C%20life%20expectancy%20is,high%2Dgraded%20by%20the%20HOLC. |website=NCRC}}</ref> The concentration of disparities in minority neighborhoods, reinforced by redlining, has resulted in worse health outcomes and lower life expectancies in these neighborhoods.<ref name=":02" /><ref>{{Cite journal |last1=Cross |first1=Rebekah Israel |last2=Huỳnh |first2=James |last3=Bradford |first3=Natalie J. |last4=Francis |first4=Brittney |date=2023 |title=Racialized Housing Discrimination and Population Health: a Scoping Review and Research Agenda |journal=Journal of Urban Health |language=en |volume=100 |issue=2 |pages=355–388 |doi=10.1007/s11524-023-00725-y |issn=1099-3460 |pmc=10103672 |pmid=37058240}}</ref> Continued economic isolation and property devaluation resulting from redlining have widened the differences in life expectancy between redlined communities and neighboring highly rated communities.<ref>{{Cite journal |last1=Graetz |first1=Nick |last2=Esposito |first2=Michael |date=2023-07-14 |title=Historical Redlining and Contemporary Racial Disparities in Neighborhood Life Expectancy |url=https://academic.oup.com/sf/article/102/1/1/6782835 |journal=Social Forces |language=en |volume=102 |issue=1 |pages=1–22 |doi=10.1093/sf/soac114 |issn=0037-7732|url-access=subscription }}</ref> When comparing redlined neighborhoods to highly graded neighborhoods by the [[Home Owners' Loan Corporation]], life expectancy in redlined communities is on average 3.6 years lower. However, there is significant variation in this difference among different cities.<ref name=":02" /> In Baltimore, red or yellow rated communities, meaning "declining," or "risky for mortgage support," had a life expectancy five years shorter than communities rated green or blue, meaning "desirable."<ref>{{Cite journal |last1=Huang |first1=Shuo Jim |last2=Sehgal |first2=Neil Jay |date=2022-01-19 |title=Association of historic redlining and present-day health in Baltimore |journal=PLOS ONE |language=en |volume=17 |issue=1 |article-number=e0261028 |doi=10.1371/journal.pone.0261028 |doi-access=free |pmid=35045092 |pmc=8769359 |bibcode=2022PLoSO..1761028H |issn=1932-6203}}</ref> In Richmond, Virginia, one predominantly black neighborhood has a life expectancy of 21 years shorter than that of a nearby predominantly white neighborhood, which had been highly rated by the HOLC in the 1930s.<ref>{{Cite web |last=Godoy |first=Maria |date=November 19, 2020 |title=In U.S. Cities, The Health Effects Of Past Housing Discrimination Are Plain To See |url=https://www.npr.org/sections/health-shots/2020/11/19/911909187/in-u-s-cities-the-health-effects-of-past-housing-discrimination-are-plain-to-see |website=NPR}}</ref>

==== COVID-19 ====
Redlining intentionally excluded black Americans from accumulating intergenerational wealth. The effects of this exclusion on black Americans' health continue to play out daily, generations later, in the same communities. This is evident currently in the disproportionate effects that COVID-19 has had on the same communities which the HOLC redlined in the 1930s. Research published in September 2020 overlaid maps of the highly affected COVID-19 areas with the HOLC maps, showing that those areas marked "risky" to lenders because they contained minority residents were the same neighborhoods most affected by COVID-19. The Centers for Disease Control (CDC) looks at inequities in the social determinants of health like concentrated poverty and healthcare access that are interrelated and influence health outcomes with regard to COVID-19 as well as quality of life in general for minority groups. The CDC points to discrimination within health care, education, criminal justice, housing, and finance, direct results of systematically subversive tactics like redlining which led to chronic and toxic stress that shaped social and economic factors for minority groups, increasing their risk for COVID-19. Healthcare access is similarly limited by factors like a lack of public transportation, child care, and communication and language barriers which result from the spatial and economic isolation of minority communities from redlining. Educational, income, and wealth gaps that result from this isolation mean that minority groups' limited access to the job market may force them to remain in fields that have a higher risk of exposure to the virus, without options to take time off. Finally, a direct result of redlining is the overcrowding of minority groups into neighborhoods that do not boast adequate housing to sustain burgeoning populations, leading to crowded conditions that make prevention strategies for COVID-19 nearly impossible to implement.<ref>"Mapping Inequality." Digital Scholarship Lab, dsl.richmond.edu/panorama/redlining/.</ref><ref>{{cite web |first1=Jason |last1=Richardson |first2=Bruce C. |last2=Mitchell |first3=Helen C.S. |last3=Meier |first4=Emily |last4=Lynch |first5=Jad |last5=Edlebi |title=Redlining and Neighborhood Health |publisher=NCRC |url=https://ncrc.org/holc-health/ |date=10 September 2020 }}</ref><ref name="Myers, JoAnne 2020">{{cite book |last1=Myers |first1=JoAnne |title=The good citizen: the markers of privilege in America |date=2020 |isbn=978-1-351-00669-9 |oclc=1111653987 |doi=10.4324/9781351006705 |s2cid=211349002 }}{{page needed|date=March 2022}}</ref><ref>{{cite news |last1=Badger |first1=Emily |title=Can the Racial Wealth Gap Be Closed Without Speaking of Race? |url=https://www.nytimes.com/2019/05/10/upshot/racial-wealth-gap-2020-candidates.html |work=The New York Times |date=10 May 2019 }}</ref><ref>{{cite journal |doi=10.1371/journal.pmed.1000248 |doi-access=free |title=The Promise of Prevention: The Effects of Four Preventable Risk Factors on National Life Expectancy and Life Expectancy Disparities by Race and County in the United States |date=2010 |last1=Danaei |first1=Goodarz |last2=Rimm |first2=Eric B. |last3=Oza |first3=Shefali |last4=Kulkarni |first4=Sandeep C. |last5=Murray |first5=Christopher J. L. |last6=Ezzati |first6=Majid |journal=PLOS Medicine |volume=7 |issue=3 |article-number=e1000248 |pmid=20351772 |pmc=2843596 }}</ref><ref>{{cite news |last1=Howell |first1=Brittani |title=How Redlining, Racism Harm Black Americans' Health |url=https://www.wyso.org/2020-06-24/how-redlining-racism-harm-black-americans-health |work=WYSO |date=24 June 2020 }}</ref><ref name=":5">{{Cite web |last=CDC |date=2020-04-30 |title=Communities, Schools, Workplaces, & Events |url=https://www.cdc.gov/coronavirus/2019-ncov/community/health-equity/race-ethnicity.html |access-date=2020-12-09 |website=Centers for Disease Control and Prevention |archive-date=August 5, 2020 |archive-url=https://web.archive.org/web/20200805071354/https://www.cdc.gov/coronavirus/2019-ncov/community/health-equity/race-ethnicity.html |url-status=bot: unknown }}</ref>

After years of de facto discrimination achieved through redlining, a system of structural racism blocking the achievement of health equity for all Americans has developed. As a result, a de facto health narrative that does not inspire belonging, compel political participation, nor dictate strategic change towards the social justice model for health equity has matured. In order to eliminate health inequality in America, a new de facto health narrative needs to dictate strategy. The process for achieving health equity relies on healthcare leaders articulating, acting on, and building the vision into all decisions and structures that support equity. Sufficient resources must be allocated to establishing a governance structure that can oversee health equity work. This includes taking specific action to address the social determinants of building intergenerational wealth as well as confronting institutional racism within health systems themselves. Next, health systems need to address the socioeconomic determinants of health which disadvantage minority groups. Through training, education, support groups, housing support, improved transportation, resource assistance, and community health programs, health equity organizations can begin to break down the long-lasting barriers that tactics like redlining have imposed on achieving health equity. In addition to ensuring the equal health outcomes of patients, healthcare organizations can also utilize their position as employers to develop a more diverse workforce through improved hiring practices and ensuring living wages to minority employees.<ref>{{cite book |last=Rothstein |first=Richard |author-link=Richard Rothstein |title=The Color of Law: A Forgotten History of How Our Government Segregated America |title-link=The Color of Law |year=2017 |place=New York |publisher=[[Boni & Liveright|Liveright Publishing Corporation]] |pages= |isbn=978-1-63149-453-6 }}{{page needed|date=September 2023}}</ref><ref>{{Cite web |date=2018-03-06 |title=Health Equity: Why it Matters and How to Achieve it |url=https://www.healthcatalyst.com/health-equity-why-it-matters-how-to-achieve-it |access-date=2020-12-09 |website=Health Catalyst |archive-date=November 27, 2020 |archive-url=https://web.archive.org/web/20201127032620/https://www.healthcatalyst.com/health-equity-why-it-matters-how-to-achieve-it }}</ref>

== Strategies to reverse effects of redlining ==
Redlining has contributed to the long-term decline of low-income, [[inner city]] neighborhoods and the continuation of ethnic minority [[ethnic enclaves|enclaves]]. Compared to prospering ethnic minority areas, historically redlined or other struggling black communities need targeted investments in infrastructure and services in order to prosper.<ref>{{cite thesis |last=Height |first=Tatiana |date=2017 |title=Analyzing Communities in Black America: How Urban and Regional Planners Can Plan for Prosperous Black Communities |type=Thesis |publisher=University of Nebraska-Lincoln |pages=57–63 |url=http://digitalcommons.unl.edu/arch_crp_theses/47 |access-date=2019-05-11}}</ref>

Some of these strategies include:
* Targeting planning resources to improve employment, incomes, wealth, the built environment, and social services in struggling communities. 
* Recognize the importance of [[public transportation]] as a means for low-income communities to access jobs and services. 
* Provide jobs near the labor supply through targeted [[economic development]]. 
* Invest in the housing stock through neighborhood revitalization programs.
* Utilize [[inclusionary zoning]] (IZ) ordinances to improve amounts of high quality housing. 
* Equitably distribute [[hazardous waste]] sites so they are not concentrated in low-income and minority areas.

Moreover, residents of historically redlined neighborhoods face risks for worse health outcomes and lower life expectancies. Healthcare professionals play a crucial role in efforts to reverse the impact of redlining on adverse health outcomes.<ref name="Egede, L. E. 2023">Egede, L. E., Walker, R. J., Campbell, J. A., Linde, S., Hawks, L. C., & Burgess, K. M. (2023). Modern day consequences of historic redlining: finding a path forward. ''Journal of General Internal Medicine, 38''(6), 1534-1537.</ref> Metzl and Hansen propose that the U.S. medical education system should train healthcare professionals to recognize the larger structural contexts and social and economic conditions that influence patient health outcomes, including the legacy of redlining.<ref>Metzl, J. M., & Hansen, H. (2014). Structural competency: theorizing a new medical engagement with stigma and inequality. Social ''Science & Medicine, 103'', 126-133.</ref> Infusing clinical training with structural awareness allows healthcare providers to consider the structural barriers that shape patients' health and illness. The faculty at Wayne State University School of Medicine in Detroit, Michigan launched a course called "Healing Between the Lines" to teach medical students and residents about the effects of structural injustices on health, including historical redlining as a "critical driver" of the life expectancy gap of Detroit.<ref>Opara, I. N. (2023, August 1). ''The deadly legacy of redlining - and a mission to reverse it.'' AAMC. https://www.aamc.org/news/deadly-legacy-redlining-and-mission-reverse-it</ref> From a healthcare policy perspective, Egede and other scholars recommend Medicaid expansion, Medicaid coverage mandatorily including Community Health Worker services, value-based health system payments, and federal incentives for expanding hospitals and clinics. Healthcare providers and individuals in the healthcare system are crucial in addressing the long-lasting health consequences of historical redlining.<ref name="Egede, L. E. 2023"/>

== See also ==
{{Portal|United States}}
* [[Housing segregation in the United States|Housing segregation]]
* [[Gentrification in the United States]]
* [[Cost of poverty|Ghetto tax]]
* [[Racial capitalism]]
* [[Sundown town]]

== References ==
{{reflist}}

<!-- ===Notations===
* Frederick Babcock "Neighborhood Life Cycle" theory -->

== Further reading ==
*{{cite book |author1=Westgate, Michael |author2=Vick, Ann |title=Gale Force: The Battles for Disclosure and Community Reinvestment |publisher=Harvard Book Store |edition=2nd |date=2011 |isbn=978-0-9728223-3-6}}
*Wise, Richard W. | ''Redlined: A Novel of Bosto''n| (2020) Brunswick House Press 978–0972822336

==External links==
{{commons category}}
* {{cite web |publisher=Richmond.edu |url=https://dsl.richmond.edu/panorama/redlining/ |title=Mapping Inequality: Redlining in New Deal America}}
* {{cite news |publisher=CNNMoney |title=Trump may weaken 'outdated' rules that force banks to lend to the poor |date=January 12, 2018 |author=Egan, Matt |url=https://money.cnn.com/2018/01/12/investing/bank-lending-poor-cra-trump/index.html}}
* {{cite web |publisher=HUD.gov |url=http://portal.hud.gov/hudportal/HUD?src=%2Fprogram_offices%2Ffair_housing_equal_opp |title=Fair Housing Equal Opportunity |archive-url=https://web.archive.org/web/20120402122117/http://portal.hud.gov/hudportal/HUD?src=%2Fprogram_offices%2Ffair_housing_equal_opp |archive-date=2012-04-02}} Learn more about housing discrimination.
* {{cite web |publisher=HUD.gov |url=https://www.hud.gov/program_offices/fair_housing_equal_opp/online-complaint |title=File a housing discrimination complaint |url-status=live |archive-url=https://web.archive.org/web/20131005022332/http://portal.hud.gov/hudportal/HUD?src=%2Fprogram_offices%2Ffair_housing_equal_opp%2Fonline-complaint |archive-date=2013-10-05}}
* {{cite book |url=http://www.nis.cml.upenn.edu/redlining/ |title=Redlining in Philadelphia |author=Hillier, Amy |publisher=UPenn.edu |archive-url=https://web.archive.org/web/20170614184701/http://www.nis.cml.upenn.edu/redlining/ |archive-date=2017-06-14}}
* {{cite web |publisher=UrbanOasis.org |url=http://www.urbanoasis.org/projects/digital-holc-maps |title=HOLC Maps for several U.S. cities |access-date=2012-08-01 |archive-url=https://web.archive.org/web/20150331002139/http://www.urbanoasis.org/projects/digital-holc-maps |archive-date=2015-03-31 }}
* {{cite news |url=http://cml.upenn.edu/redlining/C_intro.html |title=Intro |work=Redlining, and Neighborhood Appraisals in Philadelphia |publisher=UPenn.edu |archive-url=https://web.archive.org/web/20110928132149/http://cml.upenn.edu/redlining/C_intro.html |archive-date=2011-09-28}}
* {{cite web |url=http://ias.umn.edu/2012/09/27/roundtable-on-redlining/ |archive-url=https://archive.today/20121211111237/http://ias.umn.edu/2012/09/27/roundtable-on-redlining/ |archive-date=2012-12-11 |title=Roundtable on Redlining in Minneapolis |publisher=UMN.edu}}
*{{Cite news |last1=Zhong |first1=Raymond |last2=Popovich |first2=Nadja |date=2022-03-09 |title=How Air Pollution Across America Reflects Racist Policy From the 1930s |work=The New York Times |issn=0362-4331 |url=https://www.nytimes.com/2022/03/09/climate/redlining-racism-air-pollution.html |access-date=2022-03-12}}

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