Equal Credit Opportunity Act

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Equal Credit Opportunity Act Compliance

The Equal Credit Opportunity Act (ECOA) applies to both residential and commercial lending.  ECOA requires that an institution make a credit decision on a loan application within a certain time; however, what constitutes an application and what time frame applies differs between residential and commercial lending and differs for different types of commercial borrowers.  An institution must incorporate these differences into policies, procedures, processes, and training.

Why Ensure ECOA Compliance With Us

In the competitive landscape of residential and commercial lending, ECOA compliance is essential to an institution's lending programs.  Repeated or systemic ECOA errors can lead to regulatory ratings downgrades, enforcement actions, and limitations on growth and profits.  We are expert on improving ECOA compliance and eliminating mistakes.

Reach Out to Us Today

Let us help you achieve and ensure ongoing ECOA compliance.  Reach out today for a free consultation !

Loan Applications Adverse Action

ECOA also requires that loan applicants be notified when an adverse credit decision is made - that is, for example, when a loan application is denied, or closed for incompleteness.  What constitutes a denial, or an application closure, can vary based on the circumstances.  It is important that an institution get these details right in order to ensure ECOA compliance.

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