What is a prohibited practice under the Fair Housing Act?

Prepare for the Bank Compliance Training Test with interactive flashcards and multiple-choice questions, complete with hints and explanations. Master compliance concepts to succeed on your exam!

Discrimination based on race or religion is a prohibited practice under the Fair Housing Act because the Act is specifically designed to eliminate barriers to housing based on certain protected characteristics. The Fair Housing Act prohibits discrimination in housing-related transactions based on race, color, national origin, religion, sex, familial status, or disability. By ensuring that individuals are treated equally regardless of these characteristics, the Act promotes fair access to housing opportunities and aims to create a more equitable society. This legal framework is essential for ensuring that individuals can secure housing without facing discrimination, which has historically been pervasive in many aspects of society.

The other options relate to lending practices and discriminatory behavior but do not directly align with the specific protections outlined in the Fair Housing Act concerning housing access; they are relevant to financial equity and lending discrimination laws.

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