NCUA Removes Disparate Impact References From Its Manuals

Adam Witmer
Regulatory Update, Fair Lending

On September 4, 2025, the NCUA announced its removal of all references to disparate impact liability from its Fair Lending Guide and other issuances. These updates are in line with the White House Executive Order 14281, which aims to restore equality of opportunity and meritocracy by directing federal agencies to remove the use of disparate impact liability across all contexts.

The NCUA stated that its examination and supervision processes will no longer include reviews for disparate impact. In addition, the agency will no longer request, review, or conclude or follow up on:

  • Matters related to a credit union’s disparate impact risk;

  • Internal disparate-impact risk analysis; and

  • Disparate-impact risk assessment processes or procedures

The NCUA clarified that it will continue to conduct fair lending examinations and risk assessments and take appropriate action if evidence of disparate treatment or other violations is found.

Read the NCUA’s press release here.

Adam Witmer
Regulatory Update, Fair Lending
Adam Witmer

Adam Witmer is a speaker, author, and founder of the Compliance Cohort. Adam has taught hundreds of seminars and training sessions to thousands of bankers throughout the United States and teaches on all areas of regulatory compliance. Adam has written five e-books that he never published, hit a grizzly bear while driving in a National Park, and is an award winning photographer and musician (though he no longer takes photos nor plays any instruments). In his spare time, Adam can be found kayaking on the lake, doing taekwondo with his kids, working on his (project) house, or spending time with his family.

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