Loan Officer Practice Exam

If a consumer believes she has been discriminated against under the Equal Credit Opportunity Act, where can she file a complaint?

1. USPAP

2. HUD

3. CFPB or appropriate state civil agency as directed

4. NMLS

The correct answer is: CFPB or appropriate state civil agency as directed

The correct choice is appropriate because the Equal Credit Opportunity Act (ECOA) is designed to prohibit discrimination in lending. A consumer who believes they have been subjected to discrimination under this act has several avenues for filing a complaint. The Consumer Financial Protection Bureau (CFPB) is the primary federal agency that handles complaints related to financial products and services, including those concerning violations of the ECOA. They provide resources and support to consumers to ensure their rights are protected. Additionally, state civil agencies may also be equipped to handle such complaints, depending on the regulations in the consumer's home state. While the other options are relevant to different aspects of finance and complaint processes, they do not specifically address the ECOA or consumer complaints related to discrimination. For instance, USPAP refers to standards of practice in appraising real estate and is not involved in discrimination cases. HUD deals more with housing-related issues, including discrimination in housing, but it is not the primary agency for ECOA-related complaints. NMLS, or the Nationwide Multistate Licensing System, primarily pertains to the licensing of loan originators and does not handle discrimination complaints under ECOA. Therefore, the choice highlighting the CFPB and state civil agencies is most appropriate for a consumer facing discrimination under the