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Master The Basics of Redlining, an ABA Special Feature

Published: September 4, 2019

Written by: Dr. Anurag Agarwal, PhD

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Redlining Basics

The benefits of automating redlining analysis with technology include:

Shrinking MSA workload and increasing ROI

Regulators are looking beyond originations to include market penetration and denial rates and are putting more onus on lenders to perform self-analysis. An automated analysis tool allows lenders to choose metropolitan statistical areas (MSAs) or counties to assess, focusing their efforts on the highest risk areas.

Comparing data to peers, and acting accordingly

It is important for lenders to know what their data looks like in comparison to other markets and geographies. Automating this process allows lenders to compare selected measures, like LMI vs. non-LMI tracts, view metrics that illustrate significant lending variance in comparison to peer institutions, and discern where a lender is underperforming or over-performing in specific geographic locations.

Digitizing mapping for increased efficiency

Traditionally, lenders placed pins on a map to indicate individual loans. With today’s technology, maps are now digitized to more accurately represent specific loan activities and where they occur, and reveal opportunities for lenders to make more minority and LMI loans.

Known for his development of compliance reporting and analytics platform, RiskExec, Dr. Anurag Agarwal is an expert in fair lending, HMDA, and CRA. With more than 25 years of experience, Anurag has supported and advised large financial institutions in the areas of compliance, fair lending, statistical analysis, and regulatory risk management.

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About the Author

Dr. Anurag Agarwal - Founder and President - RiskExec

Dr. Anurag Agarwal, PhD

Founder & President

Dr. Anurag Agarwal is the Founder & President of RiskExec.

Anurag is the original architect and developer behind the RiskExec platform, and has been working within the fair lending and compliance industry for more than thirty years. Anurag began working on fair lending procedure automation while getting his PhD in Operations Research, Statistics, and Management Science from the Haslam College of Business at the University of Tennessee, Knoxville. Today, he is a nationally renowned expert in fair lending, Home Mortgage Disclosure Act (HMDA), Community Reinvestment Act (CRA), and other related areas, and is a frequent speaker at ABA and MBA industry events.

Anurag co-founded Compliance Solutions back in 2001, before founding Risk Management Solutions Inc. in 2006 and serving as its President and CEO until 2015. RMS was ultimately acquired by Asurity Technologies in 2015. As of January 2025, RiskExec became a standalone company.

When Anurag is not spending time developing new RiskExec software modules or educating financial institutions about the importance of doing the right thing to further the American dream of home ownership, he can be found spending time with his children and grandchildren, or traveling and taking cooking classes with his wife of 35 years.