# What This Bill Does

This bill would change the rules about what information banks and lenders can ask for when you apply for credit. Right now, federal law generally prevents lenders from considering your immigration status when deciding whether to give you a loan, credit card, or other credit. This bill would create a new exception that allows lenders to ask about and consider your immigration status, but only for a specific reason: to figure out what legal options and protections the lender has if you don't pay back the loan.

Think of it this way—if you default on a loan, a lender might want to know your immigration status because it could affect what they can do to collect the debt or what legal remedies are available to them. Under current law, they generally can't ask about this. This bill would say they can ask, as long as they're not using that information to decide whether you're creditworthy (meaning whether you're likely to repay the debt). The bill emphasizes that lenders still can't use immigration status as a reason to deny you credit or charge you more.

The practical impact would be that when you apply for credit, lenders could legally ask about your immigration status during the application process. For immigrants or people with uncertain legal status, this could feel invasive or concerning, even though the law would still technically prohibit lenders from using that information against you in their credit decision. The bill's supporters argue it clarifies lender protections, while critics worry it could lead to discrimination in practice, since once lenders know someone's immigration status, it might influence their lending decisions despite the legal prohibition.

To amend the Equal Credit Opportunity Act to clarify creditor's rights and remedies with respect to the consideration of immigration status with respect to the extension of credit, and for other purposes.

Ogles, Andrew

<p>This bill allows creditors to consider an applicant’s immigration status for certain purposes when assessing an application for an extension of credit. In particular, considering an applicant’s U.S. immigration status for the purpose of determining the creditor's rights and remedies applicable to the particular extension of credit does not constitute discrimination.&nbsp;&nbsp;</p>