“Creditor” is defined in the statute as “any person who regularly extends, renews, or continues credit; any person who regularly arranges for the extension, renewal, or continuation of credit; or any assignee of an original creditor who participates in the decision to extend, renew, or continue credit.” 15 U.S.C. § 1691a(e). Because the AmeriPro Applicants did not apply for credit directly or indirectly from Wells Fargo, the Court determined that Wells Fargo could be liable as a creditor as to the AmeriPro Applicants only if it was an “assignee of an original creditor who participates in the decision to extend, renew, or continue credit” under 15 U.S.C. § 1691a(e).

A "financial institution" means a state or national bank or savings and loan association, mutual savings bank, state or federal credit union or person that holds a transaction account.5 16 C.F.R. § 681.2(b)(5).6 15 U.S.C. § 1691a(e).7 15 U.S.C. § 1691a(d).8 Letter from Eileen Harrington, Acting Dir. Of Bureau of Consumer Protection, FTC, to Margaret Garikes, Dir. of Federal Affairs, AMA (Feb. 4, 2009), available at: http://www.ftc.gov/os/closings/staff/090204amaresponse.pdf. (the “FTC Feb. Letter”).9 FTC Feb. Letter, p. 6.

vered Applications are approved or denied.What is a Covered Application?Covered Applications are any oral or written request for a Covered Credit Transaction made in accordance with procedures used by a Financial Institution for the type of credit requested. This does not include a reevaluation, extension, or renewal on an existing account (although applications involving additional credit amount requests or for a refinancing are Covered Applications), or inquiries or prequalification requests. Solicitations and firm offers of credit do not qualify as “Covered Applications.”What is a Covered Credit Transaction?The CFPB broadly defines Covered Credit Transaction as “an extension of business credit”, unless otherwise excluded. The Final Rule excludes: (1) trade credit, (2) Home Mortgage Disclosure Act reportable transactions, (3) insurance premium financing, (4) public utilities credit, (5) securities credit, and (6) incidental credit. The CFPB relies on the definition of “credit” under 15 USC 1691a(d), which states credit is “the right granted by a creditor to a debtor to defer payment of debt or to incur debts and defer its payment or to purchase property or services and defer payment therefor.” As such, the extension of credit must be “primarily for business or commercial (including agricultural) purposes.” Factoring, leases, consumer-designated credit that is used for business or agricultural purposes, or credit transaction purchases, purchases of originated Covered Credit Transactions, purchases of an interest in a pool of credit transactions, and purchases of a partial interest in a credit transaction do not constitute a “Covered Credit Transaction.”What if there are multiple Covered Credit Transactions requested at one time?If an applicant makes a request for two or more Covered Credit Transactions (a term loan and a line of credit, for instance) on the same application, the Financial Institution reports each request as a separate Covered Application. If the applicant request

On May 9, 2022, the Consumer Financial Protection Bureau issued an advisory opinion declaring that the Equal Credit Opportunity Act’s prohibitions against discrimination protect borrowers in all aspects of a credit transaction, including in connection with account servicing.Echoing positions taken in previous amicus briefs, the CFPB’s opinion highlights that the ECOA defines an “applicant” to mean “any person who applies to a creditor directly for an extension, renewal, or continuation of credit, or applies to a creditor indirectly by use of an existing credit plan for an amount exceeding a previously established credit limit” (15 US Code 1691a(b)). As defined by Regulation B, an “applicant” includes “any person who requests or who has received an extension of credit from a creditor.”

The ECOA defines an “applicant” to mean “any person who applies to a creditor directly for an extension, renewal, or continuation of credit, or applies to a creditor indirectly by use of an existing credit plan for an amount exceeding a previously established credit limit.” 15 U.S.C. 1691a(b). As defined by Regulation B, an “applicant” includes “any person who requests or who has received an extension of credit from a creditor.”

The ECOA defines an “applicant” to mean “any person who applies to a creditor directly for an extension, renewal, or continuation of credit, or applies to a creditor indirectly by use of an existing credit plan for an amount exceeding a previously established credit limit.” 15 U.S.C. 1691a(b). As defined by Regulation B, an “applicant” includes “any person who requests or who has received an extension of credit from a creditor.”

The ECOA defines an “applicant” to mean “any person who applies to a creditor directly for an extension, renewal, or continuation of credit, or applies to a creditor indirectly by use of an existing credit plan for an amount exceeding a previously established credit limit.”15 U.S.C. 1691a(b). As defined by Regulation B, an “applicant” includes “any person who requests or who has received an extension of credit from a creditor.”

A “creditor” includes “any person who regularly extends, renews, or continues credit” and “any assignee of an original creditor who participates in the decision to extend, renew, or continue credit.” See 15 U.S.C. § 1691a(e). Regulation B provides, more broadly, that a “creditor” includes “a person who, in the ordinary course of business, participates in a credit decision, including setting the terms of the credit” as well as “creditor’s assignee, transferee, or subrogee who so participates.”

15 U.S.C. § 1691(a).The statute defines “applicant” as “any person who applies to a creditor directly for an extension, renewal, or continuation of credit, or applies to a creditor indirectly by use of an existing credit plan for an amount exceeding a previously established credit limit.” 15 U.S.C. § 1691a(b).The district court concluded that the spouses were not “applicants” within the meaning of the ECOA and thus that Bank had not violated the ECOA by requiring them to execute the guaranties. Accordingly, the district court granted summary judgment in favor of the Bank on the ECOA claim and on the ECOA-based affirmative defense to the Bank’s breach-of-guaranty counterclaims.

See 15 U.S.C. § 1691. While the ECOA defines “applicant” as “any person who applies to a creditor directly for an extension, renewal, or continuation of credit, or applies to a creditor indirectly by use of an existing credit plan for an amount exceeding a previously established credit limit” (15 U.S.C. § 1691a(b)), Regulation B sets forth its own definition, which is broader than the statute and allows guarantors to sue for violations of the spouse-guarantor rule. See 12 C.F.R. § 1002.