In 1948, Michael and Janet, an African American couple with two incomes and no children, were trying to buy their dream house. They had good income and very good credit; however, the bank turned down the request for a mortgage on a house in the predominantly black neighborhood they grew up in. According to the text, what practice most likely kept them from receiving a loan?

Question

Social Studies

Britney Lawson

14 August, 17:44

In 1948, Michael and Janet, an African American couple with two incomes and no children, were trying to buy their dream house. They had good income and very good credit; however, the bank turned down the request for a mortgage on a house in the predominantly black neighborhood they grew up in. According to the text, what practice most likely kept them from receiving a loan?

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Answers (1)

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Ronald Hawkins · Answer 1

Redlining.

Explanation:

Michael and Janet both having good income and good credit, in their quest to buy their dream house their mortgage request on a house was rejected by the bank because they were from predominantly black neighborhood. This practice is known as redlining. Refusing because they live in poor area.