Mortgage companies that offer high-interest subprime mortgages tend to target minority communities because it is more difficult for racial minorities to obtain mortgages due to:

Question

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Discrimination and systemic inequality in access to resources and opportunities have historically plagued minority communities, making it more difficult for them to secure mortgages and accumulate wealth. This makes them more vulnerable to the predatory lending tactics of subprime mortgage companies. While some individuals within minority communities may have bad credit or lower cultural capital, these factors alone do not fully explain the targeting of subprime mortgages towards these groups. Additionally, the assumption that racial minorities inherently have higher default rates is a harmful and unfounded stereotype.

Mortgage Companies That Offer High-Interest Subprime Mortgages Tend to Target