ECOA & Fair Lending: Examiner Hot Buttons

The Equal Credit Opportunity Act, which is implemented by Regulation B, is the primary rule of law that prohibits lenders from discriminating against a consumer based on race, color, religion, sex, marital status, age, or the receipt of public assistance. For many years, regulators and the courts have permitted the use of disparate impact analysis to prove discrimination, which means that your institution can be found liable for discrimination even if there was no intent to discriminate. Many institutions have reported that regulators are using statistical analysis and unpublished analytical formulas in their fair lending exams, some of which have resulted in “false positive” findings of disparate treatment. This webinar will help you prepare for your next fair lending exam and suggest ways to defend against disparate impact and discrimination claims.