On April 22, 2026, the CFPB issued a final rule amending Regulation B under the Equal Credit Opportunity Act (ECOA) to clarify its scope, eliminate certain liability theories, and update standards for special purpose credit programs. The final rule will become effective on July 21, 2026.
In particular, the final rule amends provisions related to disparate impact, discouragement of applicants or prospective applicants, and special purpose credit programs:
Disparate Impact. The Bureau concludes that ECOA does not recognize disparate-impact liability, often referred to as the “effects test.” As a result, it removes regulatory language and commentary suggesting such claims are permitted and explicitly states that ECOA does not support this theory of liability.
Discouragement. The rule finalizes amendments to §1002.4(b) to clarify how discouragement of applicants is addressed under Regulation B. These changes are intended to better align regulatory text with ECOA’s statutory purpose and the Bureau’s authority to issue implementing regulations.
Special Purpose Credit Programs (SPCPs). The rule updates standards governing SPCPs offered by for-profit organizations under ECOA. The revisions refine eligibility and compliance requirements to better align SPCPs with ECOA’s purpose of expanding fair access to credit while preventing discriminatory practices.
The final rule can be found here.