What is the amount of the individual penalty for ECOA violations?

What is the amount of the individual penalty for ECOA violations?

• A. $5,000
• B. $10,000
• C. $25,000
• D. $50,000

Answer: (B)

The main concept is that ECOA imposes civil penalties for discriminatory credit practices, with a specific cap for individuals. The amount an individual can be fined for a single violation is ten thousand dollars. This per-violation limit means that if there are multiple discriminatory acts, each can trigger its own penalty up to $10,000. The other dollar amounts don’t fit the standard per-violation cap for individuals, though higher penalties can appear in other contexts (such as patterns or practices or penalties against an institution).

The main concept is that ECOA imposes civil penalties for discriminatory credit practices, with a specific cap for individuals. The amount an individual can be fined for a single violation is ten thousand dollars. This per-violation limit means that if there are multiple discriminatory acts, each can trigger its own penalty up to $10,000. The other dollar amounts don’t fit the standard per-violation cap for individuals, though higher penalties can appear in other contexts (such as patterns or practices or penalties against an institution).