United States v. SouthEast Bank (E.D. Tenn.)

On January 18, 2025, the Division filed an Equal Credit Opportunity Act complaint and proposed consent order to resolve its allegations in United States v. SouthEast Bank (E.D. Tenn.). The complaint alleges that SouthEast Bank implemented school-related eligibility criteria for an online, national student loan refinance product that discriminated against Black and American Indian/Alaska Native applicants. The complaint also alleges that SouthEast failed to properly notify applicants who were denied loans based on the eligibility criteria, as required by ECOA. Among other relief, the proposed consent order would provide $1.5 million in monetary relief to benefit all individuals from schools previously barred under the eligibility criteria. This matter was referred to the Department by the Federal Deposit Insurance Corporation (FDIC).