FHA appraisal manuals instructed banks to steer clear of areas with "inharmonious racial groups", and recommended that municipalities enact racially restrictive zoning ordinances.Following a National Housing Conference in 1973, a group of Chicago community organizations led by The Northwest Community Organization (NCO) formed National People's Action (NPA), to broaden the fight against disinvestment and mortgage redlining in neighborhoods all over the country.But, recent research has indicated that the HOLC did not redline in its own lending activities and that the racist language reflected the bias of the private sector and experts hired to conduct the appraisals. Private organizations created maps designed to meet the requirements of the Federal Housing Administration's underwriting manual.
Over 90% of home mortgages were held by state-chartered savings banks.
A Jamaica Plain neighborhood organization pushed the disinvestment issue into the statewide gubernatorial race.
The Jamaica Plain Banking & Mortgage Committee and its citywide affiliate, The Boston Anti-redlining Coalition (BARC), won a commitment from Democratic candidate Michael S.
The use of blacklists is a related mechanism also used by redliners to keep track of groups, areas, and people that the discriminating party feels should be denied business or aid or other transactions.
In the academic literature, redlining falls under the broader category of credit rationing.