Which of the following is one of the prohibited bases protected by REG B?

Asked by: Nick Hegmann  |  Last update: December 11, 2025
Score: 4.8/5 (6 votes)

Regulation B protects consumers and prohibits lenders from discriminating based on age, gender, ethnicity, nationality, or marital status. Reg B mandates that lenders provide explanations to rejected applicants within 30 days of receiving their completed applications.

Which of the following is not permitted under reg b?

Final answer: The inquiries that are not permitted under REG B are marital status, number of dependents, and age.

What is covered by reg. 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 most common Reg B violation?

We recommend that every financial institution take a couple minutes to review the "most frequently cited Regulation B violations" in order to compare their existing Fair Lending compliance management system: Common Violation #1: Discrimination on a prohibited basis in a credit transaction.

Which of the following is a prohibited basis?

Answer: There are nine prohibited factors under the ECOA. Most people are familiar with seven of them: gender, race, color, religion, national origin, marital status and age.

What is ECOA?

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What are the prohibited bases protected by Reg B?

The ECOA requires bankers to treat all similarly situated credit applicants equally based solely on their credit qualifications and not any of the prohibited bases such as race, national origin, gender or age. It is one of the two main pillars of the nation's fair lending laws (the other is the Fair Housing Act).

What are examples of prohibited bases?

An employer may not base hiring decisions on stereotypes and assumptions about a person's race, color, religion, sex (including gender identity, sexual orientation, and pregnancy), national origin, age (40 or older), disability or genetic information.

What is the Reg B adverse action?

Adverse action notices under the ECOA and Regulation B are designed to help consumers and businesses by providing transparency to the credit underwriting process and protecting against potential credit discrimination by requiring creditors to explain the reasons adverse action was taken.

Which of the following would be considered discrimination under regulation B?

PURPOSE. The Equal Credit Opportunity Act (ECOA) and its implementing regulations, referred to as Regulation B, ensure that creditors do not discriminate against any applicant on the basis of race, color, religion, national origin, sex, marital status, or age.

Which of the following is not permitted under Reg Z?

Certain types of loans are not subject to Regulation Z, including federal student loans, loans for business, commercial, agricultural, or organizational use, loans above a certain amount, loans for public utility services, and securities or commodities offered by the Securities and Exchange Commission.

Which activities are covered by reg.b business loans?

The regulation covers topics such as:
  • Discrimination.
  • Discouragement.
  • Notification of action taken (including adverse action)
  • Appraisal and other written valuations.
  • Special purpose credit programs.
  • Limitation on collection of certain protected information.
  • Self-testing and self-correction.
  • Evaluation of applications.

What is covered by Part B?

Medicare Part B helps cover medical services like doctors' services, outpatient care, and other medical services that Part A doesn't cover. Part B is optional. Part B helps pay for covered medical services and items when they are medically necessary.

What is the prohibited basis in fair lending?

What is fair lending? Fair lending prohibits lenders from considering your race, color, national origin, religion, sex, familial status, or disability when applying for residential mortgage loans.

What are covered by Reg B?

Regulation B protects consumers and prohibits lenders from discriminating based on age, gender, ethnicity, nationality, or marital status. Reg B mandates that lenders provide explanations to rejected applicants within 30 days of receiving their completed applications.

Which loan types are covered by reg.b. quizlet?

What loans are covered by ECOA - Reg B? ECOA covers all types of credit, including consumer and business credit, such as loans used to purchase a car or start a small business.

Which of the following is not a regulatory?

CIBIL is not a regulatory institutions in Indian financial system.

Which of the following is not a prohibited basis under regulation B?

Explanation: An example that is NOT a prohibited basis for the Equal Credit Opportunity Act is annual income and military status.

Which of the following prohibits discrimination?

Title VII of the Civil Rights Act, as amended, protects employees and job applicants from employment discrimination based on race, color, religion, sex and national origin.

Which government monitoring information is under Reg B?

On the one hand, Regulation B generally prohibits creditors from collecting information about race, color, religion, national origin, or sex “to discourage discrimination, based on the premise that if creditors cannot inquire about or note applicants' personal characteristics, such as national origin or race, they are ...

Which is not an adverse action?

However, a longer furlough, removal due to a reduction in force (RIF), or demotion due to a RIF is not an “adverse action” and is conducted under the rules set forth in 5 C.F.R. part 351.

What is an example of an adverse action?

The following are examples of adverse actions employers might take: discharging the worker; demoting the worker; reprimanding the worker; committing harassment; creating a hostile work environment; laying the worker off; failing to hire or promote a worker; blacklisting the worker; transferring the worker to another ...

What is a counteroffer under reg. B?

A counteroffer occurs when a creditor is willing to grant credit but on different terms than the applicant requested. For example, the creditor's lending standards may require a higher down payment for a mortgage loan or a shorter repayment term for a used automobile loan than the applicant requested.

What are the 9 prohibited bases?

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 are examples of prohibited things?

Examples of prohibited items are dangerous toys, cars that don't protect their occupants in a crash, bush meat, or illegal substances like absinthe and Rohypnol. Restricted means that special licenses or permits are required from a federal agency before the item is allowed to enter the United States.