Regulation B (Reg B) in the Equal Credit Opportunity Act (ECOA)

Regulation B (Reg B) is a regulation issued by the Federal Reserve Board that implements the Equal Credit Opportunity Act (ECOA). The ECOA prohibits discrimination in credit transactions on the basis of race, color, religion, sex, national origin, age, marital status, or receipt of public assistance. Reg B further prohibits discrimination based on the use of a credit report, credit scoring, or other credit-related information.

Reg B applies to all creditors, including banks, credit unions, mortgage lenders, and other financial institutions. It also applies to any person who regularly participates in a credit transaction, such as a loan officer or collection agent.

Reg B requires creditors to take steps to ensure that they do not discriminate in credit transactions. These steps include:

* Providing applicants with equal access to credit information and applications.
* Not asking applicants about their race, color, religion, sex, national origin, age, marital status, or receipt of public assistance.
* Not using credit scoring or other credit-related information in a discriminatory manner.
* Providing applicants with a notice of their rights under the ECOA.

Creditors who violate Reg B may be subject to civil penalties, including fines and injunctions. They may also be required to provide restitution to victims of discrimination.

Reg B is an important law that helps to protect consumers from discrimination in credit transactions. If you believe that you have been discriminated against in a credit transaction, you should contact the Federal Trade Commission (FTC). The FTC can investigate your complaint and take action against the creditor if it finds that discrimination has occurred.