law

Equal Credit Opportunity Act

A federal law that prohibits lenders from discriminating against credit applicants based on race, color, religion, national origin, sex, marital status, age (if old enough to contract), or because income comes from public assistance. It also requires lenders to explain the reasons when credit is denied. The act applies to all types of credit, including mortgages.

Exam tip: ECOA adds marital status, age, and public assistance income to the list of protected characteristics. Do not confuse it with the Fair Housing Act's protected classes.
Example: A lender cannot refuse to count an applicant's regular public assistance income when deciding whether she qualifies for a mortgage.

1. The Equal Credit Opportunity Act prohibits lenders from discriminating on the basis of all of the following EXCEPT:

Answer & explanation

Answer: A. ECOA protects race, color, religion, national origin, sex, marital status, age and receipt of public assistance. Creditworthiness factors such as credit history may be considered.

Related terms & state variants

Community Reinvestment Act Fair Housing Act protected class Truth in Lending Act

Sources

Source verification pending. Confirm current requirements with your state regulator.

Last verified: 2026-10-23