What are the prohibited practices under ECOA?
This Act (Title VII of the Consumer Credit Protection Act) prohibits discrimination on the basis of race, color, religion, national origin, sex, marital status, age, receipt of public assistance, or good faith exercise of any rights under the Consumer Credit Protection Act.
What did the Equal Credit Opportunity Act establish?
The Equal Credit Opportunity Act was signed into law by President Gerald Ford on October 28, 1974. The ECOA prohibits creditors from discrimination on the basis of race, color, religion, national origin, sex, marital status, or age.
Which activities are covered by Reg B?
Regulation B covers the actions of a creditor before, during, and after a credit transaction. The CFPB lists credit transactions and aspects of credit transactions to include consumer credit, business credit, mortgage, and open-end credit.
What are ECOA violations?
Imposing unfair terms or conditions on a loan (such as lower loan amount or higher interest rates) based on personal characteristics protected under the ECOA. Asking detailed personal information regarding marital status, such as whether you are widowed or divorced.
What is ECOA and regulation B?
The ECOA and Regulation B allow creditors to establish special-purpose credit programs for appli cants who meet certain eligibility requirements. Generally, these programs target an economically disadvantaged class of individuals and are autho rized by federal or state law.
What type of applications does the ECOA cover quizlet?
To promote the availability of consumer credit to all applicants by prohibiting credit decisions based on race, color, religion, national origin, gender, marital status, age.
What is the Regulation B?
Regulation B prohibits creditors from requesting and collecting specific personal information about an applicant that has no bearing on the applicant’s ability or willingness to repay the credit requested and could be used to discriminate against the applicant.
What is the ECOA and why does it matter?
The ECOA requires banks, credit card companies and anyone else involved in lending to make credit equally available to all creditworthy customers. It prohibits credit discrimination on the basis of race, color, religion, national origin, sex, marital status, age or because a person receives public assistance in whole or in part.
What are the consumer protection laws under the ECOA?
Consumer Protections Under the ECOA. There are certain restrictions as to what information creditors are permitted to gather from you when you apply for credit. Discouraging you from applying for credit based on race, color, religion, national origin, sex, marital status, age or because you receive public assistance.
What is the Justice Department doing under ECOA?
Each year, the Department files a report with Congress on its activities under the statute. Read the Justice Department’s 2019 Annual Report to Congress. The Consumer Financial Protection Bureau has issued regulations under ECOA. These regulations, known as Regulation B, provide the substantive and procedural framework for fair lending.
What is the equal credit Opportunity Act (ECOA)?
The Equal Credit Opportunity Act (ECOA) prohibits discrimination in any aspect of a credit transaction. It applies to any extension of credit, including extensions of credit to small businesses, corporations, partnerships, and trusts. The ECOA prohibits discrimination based on