Which law is primarily responsible for addressing the practice of redlining?

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Prepare for the NMLS Uniform State Test with flashcards and multiple-choice questions with hints and explanations. Get ready for your exam!

The Fair Housing Act is the law that is primarily responsible for addressing the practice of redlining. Enacted in 1968, the Fair Housing Act prohibits discrimination in housing based on race, color, national origin, religion, sex, familial status, and disability. Redlining refers specifically to the discriminatory practice of denying or limiting financial services, like mortgages, to residents in certain neighborhoods based on racial or ethnic composition. This practice has historically been aimed at minority groups and has contributed to systemic inequalities in housing and wealth accumulation.

By prohibiting such discriminatory practices, the Fair Housing Act aims to ensure that all individuals have equal access to housing opportunities, regardless of their background. This law plays a crucial role in combatting redlining and promoting fair treatment in the housing market.

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