Consumer Comeback Blog

Credit Score Glossary: Equal Credit Opportunity Act (ECOA)

Equal Credit Opportunity Act (ECOA): A federal law that prohibits creditors from discriminating against credit applicants on the basis of race, color, religion, national origin, sex, marital status, age, or receipt of public assistance.

The law is enforced by the Federal Trade Commission (FTC) and provides protection when dealing with those who extend credit, such as banks, small loan and finance companies, credit card companies, credit unions, and retail/department stores.