Finance
Under the Equal Credit Opportunity Act (ECOA), a lender may NOT deny credit based on:
AThe borrower's credit score
BRace, color, religion, national origin, sex, marital status, or age✓ Correct
CThe debt-to-income ratio of the borrower
DThe property's location in a flood zone
Explanation
ECOA prohibits credit discrimination based on race, color, religion, national origin, sex, marital status, age, receipt of public assistance, or the exercise of rights under consumer protection laws.
Related Arkansas Finance Questions
- The annual percentage rate (APR) on a mortgage loan is typically higher than the stated interest rate because APR:
- A buydown is a financing technique where:
- What is a 'due-on-sale' clause in a mortgage?
- Which organization insures deposits in federally chartered banks and savings institutions?
- A prepayment penalty on a mortgage charges the borrower for:
- Freddie Mac (FHLMC) was originally created to:
- A graduated payment mortgage (GPM) features:
- The Federal Housing Administration (FHA) was created primarily to:
Practice More Arkansas Real Estate Questions
1,500+ questions covering all exam topics. Start free — no signup required.
Take the Free Arkansas Quiz →