Monetary policy report beige book quarterly report on federal reserve balance. Can ai be programmed to make fair lending decisions. Free and premium training videos on all areas of regulatory compliance including fair lending, flood, hmda, bsa, deposit compliance, lending compliance, and much more. This welltimed book explores how your company can improve its current credit. Managing the fair lending risks of targeted internetbased marketing. This federal reserve publication provides highlevel summaries of consumer compliance issues for senior executives in banking organizations and serves to complement other aspects of the federal reserves outreach program for its supervised institutions, including consumer compliance outlook, a federal. Intelligence and implications for credit risk management, the latest book in the wiley and sas business series, was written by clark abrahams, a 30year banking veteran, and mingyuan zhang, one of sas top solution consultants. The fed consumer compliance supervision bulletin december. Key business processes such as determining who qualies for lines of credit personal loans, credit cards, mortgages, etc. With coverage of fair lending compliance specific to. The cra wiz and fair lending wiz are part of the wiz solution suite, a collection of compliance intelligence software solutions that can be. The end goal is to provide fair and equitable access to credit for all creditworthy consumers. Allegiance bank furthers fair lending compliance with.
Fair lending complianceintelligence and implications for credit risk management. Internal audit and compliance divisions will need to staff up to ensure that they have the requisite skill set to probe and ask the right questions during oversight activities. Intelligence and implications for credit risk management wiley and. The guide provides detailed advice on fair lending selfassessment procedures and is literally a how to book on selfassessment.
Read this article before the machines become selfaware. As artificial intelligence and machine learningbased platforms, models and algorithms quickly become the new norm, fair lending compliance teams need to be able to understand all aspects of their digital footprint. Download free ebooks fair lending compliance intelligence and implications for credit risk management full free. Performs or oversees periodic fair lending monitoring of the banks lending portfolios. It is adapted from the interagency policy statement on fair lending issued in march 1994. Apply to compliance officer, lending officer, risk analyst and more. There are 46 fair lending compliance officer job openings. There is overt evidence of discrimination even when a lender expresses, but does not act on, a. Even if a company has the best intentions of following fairlending principles, its debatable whether the artificial intelligence engines that online lenders typically use and that banks are just starting to deploy are capable of making credit decisions without inadvertently lending in affluent sections and not in minority neighborhoods. Intelligence and implications for credit risk management wiley. Search fair lending compliance officer jobs with glassdoor. Compliance solutions fair lending, hmda, cra, udaap l.
Part of the wiley and sas business series, fair lending compliance. Redlining, reverse redlining, disparate impact pricing, practices that discourage applicants, disparate treatment in loan servicing, new hmda fields and cra eligibility are some of the critical risks that require a proactive, practical approach to mitigate and manage. Browse the amazon editors picks for the best books of 2019, featuring our favorite. Glassdoor lets you search all open fair lending analyst jobs. It introduces new ways of thinking about managing credit risk and credit access that are supported by sound and. Glassdoor lets you search all open fair lending compliance officer jobs. Sidebyside was first published in 1994 and immediately became the last word in agency guidance on fair lending and self testing. Intelligence and implications for credit risk management explores this overlap between fair lending and credit risk in order for lenders to provide greater and more affordable access to credit while operating within acceptable riskreturn thresholds. Intelligence and implications for credit risk management explores the overlap between fair lending and credit risk in order for lenders to provide greater and more affordable access to credit while operating within acceptable riskreturn thresholds. Fair lending needs explainable models for responsible. Fair lending in the age of machines for those who bear the responsibility for fair lending compliance, words like artificial intelligence, machine learning, and alternative data may be a part of the general lexicon in discussions and strategy sessions these days. An indepth look at innovative approaches to credit risk management written by industry practitioners.
The fdic has issued a revised edition of sidebyside, a guide to fair lending. Designed for banks, credit unions, mortgage companies and any other compliance professional looking for resources. This book tackles head on the market failures that our current risk management systems need to address. Borrow ebooks, audiobooks, and videos from thousands of public libraries worldwide. Fdic consumer compliance examination manual september 2015 iv 1. Lenders, and investors wiley and sas business series book 22 apr 27, 2009. Lendingpatterns is a cloudbased analytical tool that uses hmda data to identify market opportunities, competitive insights, compliance benchmarks, and potential fair lending risk related to underwriting, pricing and redlining. Intelligence and implications for credit risk management book online. Praise for fair lending complianceintelligence and implications for credit risk management brilliant and informative.
Regulators are devoting more time and resources to scrutinizing this corner of the financial services market, which is characterized by exclusivity and discretion. Not only do abrahams and zhang adeptly articulate why we can and should improve our systems, they provide the analytic evidence, and the steps toward implementations. Trupoint partners releases redlining software to help. Consumer compliance supervision bulletin december 2019. How data scientists help regulators and banks ensure. This book deals primarily with compliance and credit risk management, but we.
Trupoint partners releases redlining software to help lenders deal with regulatory scrutiny. Theres a fear that companies will be indiscriminate about what they throw in there. Intelligence and implications for credit risk management book by clark r. Sas experts clark abrahams and mingyuan zhang delve into the timely topic of their book fair lending compliance. Fair lending compliance praise forfair lending complianceintelligence and implications for credit risk managementbrilliant and informative.
This software also automatically performs a full range of risk. And more, because it synthesizes indepth knowledge. Intelligence and implications for credit risk management by. We describe the current focus of regulators, explain how discrimination is typically measured, and relate how we see fair lending compliance being implemented in the coming years. Apply to compliance officer, lending officer, senior compliance officer and more. Alternative credit risk models fair lending compliance. This will have a critical impact on the types of fair lending analyses that the press, community groups, and banks competitors can perform. Avaliable format in pdf, epub, mobi, kindle, e book and audiobook. This issue of the consumer compliance supervision bulletin discusses. Mingyuan zhang fair lending compliance praise forfair lending complianceintelligence and implications for credit risk managementbrilliant and informative. Intelligence and implications for credit risk management by clark r. One objection to ai in lending is that artificial intelligence engines call for massive amounts of data to learn to make decisions the way humans do. It starts with defining categories and having compliance lawyers analyze your current book and then go through every new loan, to make sure you.
Fair lending compliance intelligence and implications for credit risk management millions of americans are unable to borrow from lending institutions largely because lenders do not have the proper credit information to prove an individuals willingness and ability to pay bills. This publication will serve as an essential reference text for those who wish to make credit accessible to underserved consumers. Intelligence and implications for credit risk management praise for. With coverage of fair lending compliance specific to consumer and small business credit risk management, this innovative and timely work shows how various groups and. Fair lending compliance fills a muchneeded gap in the field. There is much more to be said about hmda below, as technical compliance, along with fair lending implications, is one of the more important todos for 2019 for compliance professionals. We also focus on loan decisioning, pricing, and marketing relative to. Intelligence and implications for credit risk management 9780470167762 by abrahams, clark r zhang, mingyuan and a great selection of similar new, used and collectible books available now at great prices. Even if a company has the best intentions of following fair lending principles, its debatable whether the artificial intelligence engines that online lenders typically use and that banks are just starting to deploy are capable of making credit decisions without inadvertently lending in affluent sections and not in minority neighborhoods. An indepth look at innovative approaches to credit risk management written by. Is artificial intelligence a threat to fair lending. Free shipping and pickup in store on eligible orders. Financial services fair banking management without a comprehensive fair banking.
Compliance, fair lending compliance, analystassociate. Mingyuan zhang principal risk solutions architect sas linkedin. The information value contained in alternative data1 and community data has made it increasingly apparent that significant ground can, and must, be gained in enhancing the state. Role of data in fair lending compliance intelligence 23 sampling 29 types of statistical analysis 35 compliance selftesting strategy matrix 36. Recently, regulators have stepped up fair lending enforcement actions. Fair lending in the age of machines wolters kluwer. Intelligence and implications for credit risk management.
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