What do fair lending and anti discrimination laws apply to?

The Equal Credit Opportunity Act (ECOA) prohibits discrimination in any aspect of a credit transaction. It applies to any extension of credit, including extensions of credit to small businesses, corporations, partnerships, and trusts.Click to see full answer. Similarly, what does fair lending laws apply to?The federal fair lending laws—the Equal Credit Opportunity Act and the Fair Housing Act—prohibit discrimination in credit transactions, including transactions related to residential real estate. Lending acts and practices that are specifically prohibited, permitted, or required are described in the regulation.Subsequently, question is, when a lender treats an applicant differently on a prohibited basis? Disparate treatment occurs when a lender treats applicants differently. This may occur based on our unconscious biases about people or situations, or done as a pattern of practice. For instance, you may get two emails from two separate prospects and decide to contact one of them that night versus both of them. Likewise, people ask, do private lenders churches or sellers who take back notes have to comply with fair lending laws? No, private lenders can create their own rules if they do not plan to sell the mortgage on the secondary market.What is considered a prohibited basis in both the ECOA and the Fair Housing Act?Two federal laws, the Equal Credit Opportunity Act (ECOA) and the Fair Housing Act (FHA), offer protections against discrimination. The ECOA forbids credit discrimination on the basis of race, color, religion, national origin, sex, marital status, age, or whether you receive income from a public assistance program.