Final answer:
The Equal Credit Opportunity Act prohibits discrimination against applicants based on age; therefore, it is false that creditors can deny credit solely based on a person's age. Option 2 is correct.
Step-by-step explanation:
The Equal Credit Opportunity Act is a federal law that prohibits creditors from discriminating against applicants on the basis of gender, race, ethnicity, religion, or age. However, there is an exception regarding age; the law does allow for age to be considered in certain legally permissible ways. For instance, age may be considered in the context of assessing the likelihood that the applicant will be able to fulfill the credit terms.
So, to directly answer the question, it is false that the Equal Credit Opportunity Act allows a creditor to deny credit based solely on a person's age. Credit decisions must be made on facts from an individual's past and present financial behavior, and while age can be a factor in certain contexts, it cannot be the sole reason for denial.