CFPB Guidance on AI in Credit Decisioning (Circular 2022-03, withdrawn)

Dates and status re-checked against primary sources on September 30, 2026. How we verify

In 2022 the CFPB issued Circular 2022-03, saying lenders must give specific, accurate reasons for adverse action even when a complex algorithm made the decision. The CFPB withdrew that circular on May 12, 2025 with 66 other guidance documents. The underlying rule still applies: ECOA and Regulation B require specific reasons in an adverse action notice, so 'the model said no' is not enough. Separately, a final rule published April 22, 2026 and effective July 21, 2026 amended Regulation B so that ECOA no longer supports disparate-impact liability.

Key requirements

• Adverse action notices must state specific reasons for the credit decision (ECOA, Regulation B)
• 'The model said no' or generic checklist reasons are not enough
• If an AI model drives the decision, you need to be able to say which factors actually drove it
• Circular 2022-03 was withdrawn on May 12, 2025; the regulation it interpreted was not
• Regulation B was amended on April 22, 2026 (effective July 21, 2026): no disparate-impact liability under ECOA

Key terms

Further reading

• ai risk assessment for small teams
• AI Enforcement in 2026: How FTC, SEC, State AGs, DOJ and EEOC Are All Pursuing It