HUD and Rocket Mortgage, LLC Reach Agreement on Montana Fair Lending Complaint for Home Purchase within Tribal Lands

WASHINGTON - The U.S. Department of Housing and Urban Development (HUD) announced today that it has entered into a Conciliation Agreement with Rocket Mortgage, LLC resolving allegations that Rocket Mortgage denied a mortgage loan application based on race because the home being purchased was located within the Tribal boundaries of a federally recognized reservation. Read the Agreement.

The agreement stems from a complaint filed by a couple applying for a mortgage to purchase a single-family home within the boundaries of the Flathead Indian Reservation in St. Ignatius, Montana. Rocket Mortgage denied the loan application. As a result, complainants allege they were forced to pay a higher interest rate and accept a loan from another lender on less-favorable terms. The agreement resolves the complaint with Rocket Mortgage.

“No one seeking to purchase a home should be subjected to unlawful discrimination when applying for a home mortgage,” said Demetria L. McCain, HUD’s Principal Deputy Secretary for Fair Housing and Equal Opportunity. “This agreement demonstrates HUD’s commitment to ensuring fair lending for homeowners and home purchasers living on Tribal lands.”

The agreement secures $65,000 compensation to complainants, requires Rocket Mortgage to provide fair lending training to its employees, and requires Rocket Mortgage to abide by fair lending requirements for applicants seeking residential mortgage credit located within the boundaries of a Native American reservation. Additionally, Rocket Mortgage will invest at least $30,000 to provide financial support for programs that improve housing conditions, consumer financial literacy and education, outreach and homeownership education or counseling for Native Americans. Rocket Mortgage also agreed to conduct outreach through its website and social media platforms describing the company’s broad range of financing options available to eligible applicants whose loans are secured by property located within the boundaries of Native American reservations.

People who believe they have experienced discrimination may file a complaint by contacting HUD's Office of Fair Housing and Equal Opportunity at (800) 669-9777 (voice) or (800) 877-8339 (Relay).

Housing discrimination complaints may also be filed at hud.gov/fairhousing.