FinancingLending_discriminationMEDIUM
A lender denies a mortgage application from a 70-year-old retired applicant who has substantial retirement income and excellent credit. The loan officer notes 'applicant too old for a 30-year term' as the reason. Which ECOA-protected basis has been violated?
Correct Answer
A) Age
Age is a prohibited basis for credit decisions under ECOA. A lender cannot deny credit simply because an applicant is elderly, as long as the applicant can demonstrate the ability to repay.
Answer Options
A
AgeB
Marital statusC
National originD
Receipt of public assistanceWhy This Is the Correct Answer
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Related Topics & Key Terms
Key Terms:
lending_discriminationfinancingecoaage_discrimination
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