Spouse-related Cases Are Not Only for Divorce Courts
Recent court cases held in the Sixth Circuit Court of Appeals and the Eighth Circuit Court of Appeals regarding whether or not spousal cosigners are considered applicants have produced contradictory rulings. The intended determination is whether or not spousal cosigners should receive the protection of Reg. B that applicants receive. Although this specific contradiction may result in appeals to the Supreme Court, institutions should understand that they must continue to be cautious in requiring a spousal guarantor or cosigner and that applicants remain entitled to protection by ECOA. [9/4/14]
