What does the Equal Credit Opportunity Act (ECOA) prohibit in lending practices?

The Equal Credit Opportunity Act (ECOA) specifically prohibits discrimination in lending practices based on certain protected characteristics, including age. This means that lenders cannot refuse credit or impose different terms on a borrower solely because of their age, provided they meet the qualifying criteria for the loan. The intent of the ECOA is to ensure fair access to credit for all individuals, regardless of age, race, religion, gender, marital status, or national origin.

The other options present practices that are not directly addressed by the ECOA: high-interest rates can arise from various factors but are not universally prohibited under ECOA; loan caps based on income might be standard practices for underwriting; and the availability of joint mortgages is not restricted to married couples but can include others who qualify together. Hence, the focus of ECOA is on preventing age discrimination in the context of lending, making it the correct choice in this scenario.