White applicants for government-backed small business relief loans were treated better compared to black applicants, according to a study by a group that fights discrimination.
The National Community Reinvestment Coalition sent black and white applicants with nearly identical business profiles and strong credit histories to talk to banks about securing small business relief loans to help their small businesses remain open during the coronavirus crisis. In 27 of the 63 cases, 43% of the time, white business owners received more favorable treatment than black business owners.
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