This act will be superseded by the proposal: Fair Depository Standards Act
This is the current draft of Lusane's new legislation for the General Assembly, working title being the Fair Access to Credit Act.
Draft legislation is not active legislation. This document is subject to change periodically when edits have been made. Of course, our goal is to bring this legislation to a vote before the General Assembly, this might not always happen. Telegrams with notes are warmly welcomed.
BELIEVING in fair access to credit products for consumers throughout member nations.
NOTICING no regulation to cause lenders and financial institutions to enact policy to circumvent outside bias preventing consumers of certain sects, groups, or backgrounds from obtaining credit products.
SEEKING to protect consumers based on race, color, religion, national origin, sex (gender), marital status, age, or sexual orientation from discriminatory practices leading the denial of access to a credit product(s).
The World Assembly therefore;
DEFINES credit products as a loan or extension of funds to a consumer, including but not limited to installment loans, payday loans, mortgages, revolving credit lines, equity lines of credit, automobile loans, collateralized loans, credit cards, etc.
DEFINES consumers as actual citizens, sole proprietorships, or businesses; rather they be registered or unregistered. (depending on regulation in their member nation)
DEFINES lenders as private and/or public institutions designed to offer access to credit products, rather licensed or unlicensed. (depending on regulation in their member nation)
DEFINES financial institutions as private and/or public, brick-and-mortar or electronically controlled corporations or government departments in which their main purpose is to:
(a) hold deposit for consumers;
(b) hold deposit for government institutions;
(1) provide credit to a consumer as aforementioned and defined;
DEFINES discriminatory practices as erroneous decisions made by lenders or financial institutions; including employees thereof; based on race, color, religion, national origin, sex (gender), marital status, age, or sexual orientation; that led to a negative outcome and/or denial on an application or request for a credit product.
PROHIBITS the use of discriminatory practices among lenders and financial institutions, public and private to deny access to credit products based on race, color, religion, national origin, sex (gender), marital status, age, or sexual orientation.
ENCOURAGES member nations to eliminate discriminatory practices with lenders and financial institutions throughout their nations.
CLARIFYING that this act does not prohibit lenders from using means of inability to reasonably meet income requirements, credit scoring requirements, or information derived from a consumer reporting agency as a means to deny credit to a consumer.
STRONGLY RECOMMENDS that World Assembly member nations provide consumers fair access, free from discriminatory practices in regards to credit products.
Last updated: 08 Apr 2019 at 1:00 AM ET.