The ECOA addresses which type of discrimination?

The ECOA addresses which type of discrimination?

• A. Housing discrimination
• B. Employment discrimination
• C. Age discrimination
• D. Lending (credit) discrimination

Answer: (D)

Equal Credit Opportunity Act focuses on credit decisions. It prohibits discrimination in any aspect of a credit transaction—application, underwriting, pricing, terms, or the actual extension of credit—based on protected characteristics such as race, color, religion, national origin, sex, marital status, age, or income from public assistance. That makes lending (credit) discrimination the area ECOA targets. Other options refer to different realms governed by other laws: housing discrimination is addressed by the Fair Housing Act, and employment discrimination by employment-related civil rights laws. ECOA specifically ensures that credit decisions are based on creditworthiness, not personal characteristics.

Equal Credit Opportunity Act focuses on credit decisions. It prohibits discrimination in any aspect of a credit transaction—application, underwriting, pricing, terms, or the actual extension of credit—based on protected characteristics such as race, color, religion, national origin, sex, marital status, age, or income from public assistance. That makes lending (credit) discrimination the area ECOA targets.

Other options refer to different realms governed by other laws: housing discrimination is addressed by the Fair Housing Act, and employment discrimination by employment-related civil rights laws. ECOA specifically ensures that credit decisions are based on creditworthiness, not personal characteristics.