How many days does the Equal Credit Opportunity Act allow lenders to provide a reason for denial of credit?

The Equal Credit Opportunity Act (ECOA) requires that lenders inform applicants of the reasons for credit denial within 30 days of receiving their application. This timeline is in place to ensure transparency and fairness in the lending process, allowing applicants to understand the specific reasons for denial so they can address any issues or seek credit elsewhere. The 30-day requirement helps to promote responsible lending practices and uphold the rights of consumers by mandating timely communication from lenders regarding their credit decisions.