LA-Based Bank Strikes Deal in Discrimination Case

Federal prosecutors have announced a settlement with a Los Angeles-based bank that was sued along with two auto dealerships for allegedly charging non-Asian customers higher interest rates on car loans.

Under the agreement, Nara Bank will pay up to $410,000 to customers who were overcharged, according to a Department of Justice news release.

The bank will also invest at least $100,000 per year in consumer financial education efforts.

The deal, in the form of a partial consent decree, still must be approved by a judge.

The Justice Department says the case against the dealerships — Union Mitsubishi and Han Kook Enterprises — has not been resolved.

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