![]() Any system of evaluating creditworthiness may favor a credit applicant who is age 62 or older. (b) Specific rules concerning use of information.ġ. See interpretation of 6(a) General rule concerning use of information. If there is a demonstrable relationship between the income requirement and creditworthiness for the level of credit involved, however, use of the income standard would likely be permissible. For example, requiring that applicants have income in excess of a certain amount to qualify for an overdraft line of credit could mean that women and minority applicants will be rejected at a higher rate than men and nonminority applicants. The Act and regulation may prohibit a creditor practice that is discriminatory in effect because it has a disproportionately negative impact on a prohibited basis, even though the creditor has no intent to discriminate and the practice appears neutral on its face, unless the creditor practice meets a legitimate business need that cannot reasonably be achieved as well by means that are less disparate in their impact. ![]() 4-5 and in the House Report that accompanied H.R. Congressional intent that this doctrine apply to the credit area is documented in the Senate Report that accompanied H.R. 2000e et seq.,) and the burdens of proof for such employment cases were codified by Congress in the Civil Rights Act of 1991 (42 U.S.C. Supreme Court under title VII of the Civil Rights Act of 1964 (42 U.S.C. ![]() The effects test is a judicial doctrine that was developed in a series of employment cases decided by the U.S. ![]() However, a creditor may not consider in its evaluation of creditworthiness any information that it is barred by § 1002.5 from obtaining or from using for any purpose other than to conduct a self-test under § 1002.15.Ģ. When evaluating an application for credit, a creditor generally may consider any information obtained. ![]()
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