Specifically, under ECOA, it is illegal to discriminate against credit applicants on grounds of race, color, religion, national origin, sex, marital status, age, or because a person receives public assistance. Therefore, you should avoid asking about June's marital status and age.
However, a creditor may ask about costs related to children and dependents. Likewise, creditors also are barred from factoring certain considerations into their decisions. Your race, color, religion, national origin, sex, marital status or whether you receive public assistance.
While it may seem that a lender can ask anything, there are two topics that are illegal to require borrowers to answer: family planning and health issues. Lenders may not ask if you a starting a family because they may assume female borrowers will quit their jobs if they become pregnant.
Equal Credit Opportunity Act (ECOA) promotes the availability of credit to all creditworthy applicants without regard to race, color, religion, national origin, sex, marital status, or age (provided the applicant has the capacity to contract); to the fact that all or part of the applicant's income derives from a public ...
Prohibited basis means race, color, religion, national origin, sex, marital status, or age (provided that the appli- cant has the capacity to enter into a binding contract); the fact that all or part of the applicant's income derives from any public assistance program; or the fact that the applicant has in good faith ...
Which of the following is not true concerning ECOA? The answer is it requires the disclosure of the APR on all advertisements which contain an interest rate.
Lenders are not permitted to ask any questions that would discourage an applicant. Further, government regulations prevent mortgage lenders from denying loans based on race, color, religion, national origin, sex, marital status, age, or because you receive public assistance.
In order to comply with HMDA, a loan originator may ask a borrower about each of the following EXCEPT what? Religion may not be asked about, since it is in no way included in government monitoring under the guidelines of the Home Mortgage Disclosure Act (HMDA).
The Federal Equal Credit Opportunity Act prohibits creditors from discriminating against credit applicants on the basis of race, color, religion, national origin, sex, marital status, age (provided the applicant has the capacity to enter into a binding contract); because all or part of the applicant's income derives ...
A statement of action taken by the creditor. 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.
Redlining may violate both the FHAct and the ECOA.
As previously discussed on this blog, the Equal Credit Opportunity Act (the “ECOA”) prohibits creditors from discriminating against credit applicants based on race, religion, sex, national origin, marital status, and age among other things.
'' Moreover, the statute makes it unlawful for ''any creditor to discriminate against any applicant with respect to any aspect of a credit transaction (1) on the basis of race, color, religion, national origin, sex or marital status, or age (provided the applicant has the capacity to con tract); (2) because all or part ...
Notification of Applicants
Notifications of adverse action are required to be in writing and must include the following contents: Statement of action taken. Name and address of the creditor. Statement of the provisions of section 701(a) of ECOA.
Whether you are single, married, divorced, or widowed, is off-limits for lenders. They also cannot inquire about your family status, including whether you have children, are planning to have children, or are pregnant.
TILA disclosures include the number of payments, the monthly payment, late fees, whether a borrower can prepay the loan without penalty and other important terms.
Now days you can expect a lender to ask for a lot of things from you throughout the process of the loan, the best thing to do is to provide exactly what is requested from you, as quickly as you can. If providing documents is something you don't want to do, then you can more than likely expect to not get a loan.
Your marital status cannot be used against you when evaluating your credit application. Any questions about your race, ethnicity and gender cannot be used as a reason to approve or deny your credit application.
A creditor must notify an applicant of action taken on the applicant's request for credit, whether favorable or adverse, within 30 days after receiving a completed application.
Within five days (excluding legal public holidays, Saturdays, and Sundays) of a servicer receiving an information request from a borrower, the servicer shall provide to the borrower a written response acknowledging receipt of the information request.
We recommend that you avoid asking applicants about personal characteristics that are protected by law, such as race, color, religion, sex, national origin or age.
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.
prohibits creditors from discriminating against credit applicants on the basis of race, color, religion, national origin, sex, marital status, age, because an applicant receives income from a public assistance program, or because an applicant has in good faith exercised any right under the Consumer Credit Protection ...