Makes it unlawful for any creditor to discriminate against any applicant, based on race, color, religion, national origin, sex, marital status, or age; OR that their income is generated from public assistance programs. You just studied 16 terms!
What does the Equal Credit Opportunity Act prevent?
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.
Who does ECOA apply?
The Equal Credit Opportunity Act (ECOA), which is implemented by Regulation B, applies to all creditors. When originally enacted, ECOA gave the Federal Reserve Board responsibility for prescribing the implementing regulation.
What are the five Cs used by lending institutions quizlet?
Collateral, Credit History, Capacity, Capital, Character.
Who affects ECOA?
The law applies to any organization that extends credit, including banks, small loan and finance companies, retail and department stores, credit card companies, and credit unions. It also applies to anyone involved in the decision to grant credit or set its terms—for example, real estate brokers who arrange financing.
What must be listed on every adverse action disclosure?
Either a statement of the specific reasons for the action taken or a disclosure of the applicant’s right to a statement of specific reasons and the name, address, and telephone number of the person or office from which this information can be obtained.
Which of the following is one of the 5 C’s?
The five C’s, or characteristics, of credit — character, capacity, capital, conditions and collateral — are a framework used by many traditional lenders to evaluate potential small-business borrowers.
What are the objectives of the Equal Opportunity Act 2010?
The Equal Opportunity Act 2010 came into effect in August of 2011. Its primary objective is to encourage the identification of discrimination, victimisation and sexual harassment, and further to eliminate them all.
