15 U.S. Code § 1691 - Scope of prohibition

to make an inquiry of the applicant’s age or of whether the applicant’s income derives from any public assistance program if such inquiry is for the purpose of determining the amount and probable continuance of income levels, Bureau;

to use any empirically derived credit system which considers age if such system is demonstrably and statistically sound in accordance with regulations of the Bureau, except that in the operation of such system the age of an elderly applicant may not be assigned a negative factor or value;

to make an inquiry or to consider the age of an elderly applicant when the age of such applicant is to be used by theapplicant; or

to make an inquiry under section 1691c–2 of this title, in accordance with the requirements of that section.

(c) Additional activities not constituting discrimination It is not a violation of this section for a creditor to refuse to extend (1)

any credit assistance program expressly authorized by law for an economically disadvantaged class of persons;

any credit assistance program administered by a nonprofit organization for its members or an economically disadvantaged class of persons; or

any special purpose credit program offered by a profit-making organization to meet special social needs which meets standards prescribed in regulations by the Bureau;

Within thirty days (or such longer reasonable time as specified in regulations of the Bureau for any class of credit transaction) after receipt of a completed application for credit, a creditor shall notify the applicant of its action on the application.

(2) Each applicant against whom adverse action is taken shall be entitled to a statement of reasons for such action from the creditor. A (A)

providing statements of reasons in writing as a matter of course to applicants against whom adverse action is taken; or

giving written notification of adverse action which discloses (i) the person or office from which such statement may be obtained. Such statement may be given orally if the written notification advises the (3)

A statement of reasons meets the requirements of this section only if it contains the specific reasons for the adverse action taken.

Where a creditor has been requested by a third party to make a specific extension ofapplicant, the notification and statement of reasons required by this subsection may be made directly by such creditor, or indirectly through the third party, provided in either case that the identity of the (5)

The requirements of paragraph (2), (3), or (4) may be satisfied by verbal statements or notifications in the case of any creditor who did not act on more than one hundred and fifty applications during the calendar year preceding the calendar year in which the adverse action is taken, as determined under regulations of the Bureau.

For purposes of this subsection, the term “adverse action” means a denial or revocation of credit, a change in the terms of an existing (e) Copies furnished to applicants

Each creditor shall furnish to an applicant a copy of any and all written appraisals and valuations developed in connection with the (2) Waiver

The applicant may waive the 3 day requirement provided for in paragraph (1), except where otherwise required in law.

The applicant may be required to pay a reasonable fee to reimburse the (4) Free copy

Notwithstanding paragraph (3), the creditor shall provide a copy of each written appraisal or valuation at no additional cost to the applicant.

At the time of application, the creditor shall notify an applicant in writing of the right to receive a copy of each written appraisal and valuation under this subsection.

For purposes of this subsection, the term “valuation” shall include any estimate of the value of a dwelling developed in connection with a creditor’s decision to provide credit, including those values developed pursuant to a policy of a government sponsored enterprise or by an automated valuation model, a broker price opinion, or other methodology or mechanism.

Subsec. (e). Pub. L. 111–203, § 1474, amended subsec. (e) generally. Prior to amendment, subsec. (e) read as follows: “EachPub. L. 102–242 added subsec. (e).

1976—Subsec. (a). Pub. L. 94–239 designated existing provisions as cl. (1), expanded prohibition against discrimination to include race, color, religion, national origin and age, and added cls. (2) and (3).

Subsec. (b). Pub. L. 94–239 designated existing provisions as cl. (1) and added cls. (2) to (4).

Subsecs. (c), (d). Pub. L. 94–239 added subsecs. (c) and (d).

“This section [enacting section 1691c–2 of this title and amending this section] shall become effective on the designated transfer date.”

[The term “designated transfer date” is defined in section 5481(9) of Title 12, Banks and Banking, as the date established under section 5582 of Title 12.]

Amendment by section 1085(1) of Pub. L. 111–203 effective on the designated transfer date, see section 1100H of Pub. L. 111–203, set out as a note under section 552a of Title 5, Government Organization and Employees.

Amendment by section 1474 of Pub. L. 111–203 effective on the date on which final regulations implementing that amendment take effect, or on the date that is 18 months after the designated transfer date if such regulations have not been issued by that date, see section 1400(c) of Pub. L. 111–203, set out as a note under section 1601 of this title.

Section 708, formerly § 707, of title VII of Pub. L. 90–321, as added by Pub. L. 93–495, title V, § 503, Oct. 28, 1974 , 88 Stat. 1525, renumbered and amended by Pub. L. 94–239, §§ 7, 8, Mar. 23, 1976 , 90 Stat. 255, provided that:

“This title [enacting this subchapter and provisions set out as notes under section 1691 of this title] takes effect upon the expiration of one year after the date of its enactment [ Oct. 28, 1974 ]. The amendments made by the Equal Credit Opportunity Act Amendments of 1976 [enacting section 1691f of this title, amending this section and sections 1691b, 1691c, 1691d, and 1691e of this title, repealing section 1609 of this title, enacting provisions set out as notes under this section, and repealing provisions set out as a note under this section] shall take effect on the date of enactment thereof [ Mar. 23, 1976 ] and shall apply to any violation occurring on or after such date, except that the amendments made to section 701 of the Equal Credit Opportunity Act [this section] shall take effect 12 months after the date of enactment [ Mar. 23, 1976 ].”

This subchapter known as the “Equal Credit Opportunity Act”, see Short Title note set out under section 1601 of this title.

“The Congress finds that there is a need to insure that the various financial institutions and other firms engaged in the extensions ofCongress has heretofore sought to promote. It is the purpose of this Act [see Short Title note set out under section 1601 of this title] to require that financial institutions and other firms engaged in the extension of