What does ECOA prohibit in lending practices?

The Equal Credit Opportunity Act (ECOA) is designed to protect consumers from discrimination in lending practices. It specifically prohibits creditors from denying credit or altering the terms of credit based on certain personal characteristics. These characteristics include race, color, religion, national origin, sex, marital status, age (provided that the applicant has the capacity to enter into a contract), and reliance on public assistance.

The correct answer encompasses this broad range of personal attributes, affirming that ECOA aims to ensure fairness and equal access to credit for all individuals, regardless of their background or personal situation. By prohibiting discrimination based on various personal characteristics, the ECOA fosters a more equitable lending environment and prevents creditors from making decisions that could unfairly disadvantage certain groups.

The other options reflect a more limited view of what ECOA protects against. For example, discrimination based solely on age, income levels, or credit scores does not encompass the full intent and scope of the ECOA, which is meant to cover a wider range of discriminatory practices.