FEDERAL RESERVE SYSTEM - BOARD OF GOVERNORS - THE EQUAL CREDIT OPPORTUNITY ACT - ANNUAL REPORT TO THE CONGRESS FOR THE YEAR 1979

• NCJ Number: 65814
• Author(s): ANON
• Date Published: 1980
• Length: 20 pages
• Corporate Author: US Federal Reserve System
• Sale Source: National Institute of Justice/
• Publication Type: Report (Annual/Periodic)
• Language: English
• Country: United States of America

Annotation

THIS ANNUAL REPORT DISCUSSES ENFORCEMENT OF THE EQUAL OPPORTUNITY CREDIT ACT (EOCA) AND REGULATION B BY THE FEDERAL RESERVE SYSTEM AND OTHER AGENCIES, AS WELL AS THE ACTIVITIES OF THE CONSUMER ADVISORY COUNCIL.

Abstract

IN 1979 THE FEDERAL RESERVE BOARD SOUGHT TO IMPROVE COMPLIANCE OF STATE MEMBER BANKS WITH CONSUMER PROTECTION LAWS BY HIRING ADDITIONAL CONSUMER AFFAIRS AND CIVIL RIGHTS EXAMINERS, INCREASING EXAMINER TRAINING, AND DISTRIBUTING CENSUS DATA TO FAMILIARIZE EXAMINERS WITH COMMITTEES SERVED BY MEMBER BANKS. THE FEDERAL RESERVE COMPLIANCE HANDBOOK WAS PUBLISHED, WHICH CONTAINED NEW PROCEDURES TO HELP EXAMINERS DETECT CREDIT DISCRIMINATION. ABOUT 77 PERCENT OF THE BANKS EXAMINED IN 1979 DID NOT COMPLY WITH REGULATION B, COMPARED TO 78 PERCENT IN 1978. SINCE IMPROVED EXAMINATION TECHNIQUES PROBABLY RESULTED IN MORE VIOLATIONS BEING DISCOVERED, ACTUAL COMPLIANCE MAY HAVE IMPROVED MORE THAN THESE FIGURES INDICATE. THE BOARD ALSO INVESTIGATED 51 COMPLAINTS ALLEGING ILLEGAL CREDIT DISCRIMINATION. OTHER FEDERAL AGENCIES WITH ENFORCEMENT RESPONSIBILITIES REPORTED THAT COMPLIANCE HAD IMPROVED GENERALLY IN 1979. SUMMARIES OF THESE OTHER AGENCIES' EXAMINATIONS ARE PROVIDED: THE FEDERAL TRADE COMMISSION (FTC), NATIONAL CREDIT UNION ADMINISTRATION, FEDERAL DEPOSIT INSURANCE CORPORATION, FEDERAL HOME LOAN BANK BOARD, OFFICE OF THE COMPTROLLER OF THE CURRENCY, THE SMALL BUSINESS ADMINISTRATION, SECURITIES AND EXCHANGE COMMISSION, THE CIVIL AERONAUTICS BOARD, INTERSTATE COMMERCE COMMISSION, FARM CREDIT ADMINISTRATION, AND THE DEPARTMENT OF AGRICULTURE (USDA). THE CONSUMER CREDIT COUNCIL LISTS THE PRACTICES OF CREDITORS WHO USE A CREDIT-SCORING SYSTEM THAT SHOULD BE AFFECTED BY THE ANTI-DISCRIMINATION RULES OF REGULATION B. THE BOARD OF GOVERNORS' AMENDMENT TO REGULATION B IS PROVIDED, AS ARE USDA'S RECOMMENDATIONS REGARDING HANDICAPPED PERSONS AND INFORMATION REGARDING THE FEDERAL RESERVE SYSTEM'S EDUCATION MATERIALS ON THE RIGHTS OF CONSUMERS AND CREDITORS UNDER ECOA. (MJM)