According to ECOA, for how long must proof of compliance be retained for residential mortgage loans?

The correct retention period for proof of compliance with the Equal Credit Opportunity Act (ECOA) for residential mortgage loans is 25 months from the date of the action taken related to the application. This requirement aims to ensure that lenders maintain adequate records to verify compliance with fair lending laws and to facilitate examinations and investigations that may occur. By retaining documentation for this duration, lenders can effectively respond to any inquiries regarding their lending practices within the mandated timeframe, showcasing their commitment to non-discriminatory lending. This period aligns with regulatory expectations, allowing oversight bodies to ensure that lenders are adhering to the principles of equal credit opportunity for all applicants.