we would like to offer a small dollar loan program that offers a better rate to military customers that other customers (or prehaps is only available to military). I don't think any of the new affordable small dollar loan guidelines would allow this - does anyone agree/disagree?

If you want to argue the point on the merits of discrimination, the service won't take me because I'm to old. I can't get a special loan rate from you because I can't join the service. Based on the effects test, you have discriminated against me because of my age.

I can't say that I have reviewed the proposals on military lending. I don't know that an examiner would or wouldn't go after this.

Perhaps I don't understand everything fully... but what about senior accounts? Couldn't I claim that because I'm not old enough, you deny me special banking services (free negotiable items, higher interest rates, etc). Isn't this along the same lines? Or are there different regs for lending v. deposit accounts?

There are very different regulations for deposit and lending accounts. On the lending side you have Regulation B which implements the Equal Credit Opportunity Act. On the deposit side - you have nothing. The only option on the deposit side available would be some sort of claim under the Civil Rights Act, but I have yet to see one.

In the Bankers on Line information link to REG B, Sec.202.6 Rules Concerning Evaluations of Applications it states in(b)(2):
"1. Favoring the elderly. Any system of evaluating creditworthiness may favor a credit applicant who is age 62 or older. A credit program that offers more favorable credit terms to applicants age 62 or older is also permissable; a program that offers more favorable credit terms to applicants at an age lower than 62 is permissable only if it meets the special-purpose credit requirements of 202.8
In 202.8(a)5 "Determining need. In designing a special purpose credit program under 202.8(a), a for profit organization must determine that the program will benefit a class of people who would otherwise be denied credit or would receive it on less favorable terms.
In light of this it doesn't sound like your idea would be acceptable.

I think the challenge is to devise a program that you could market to servicemembers or others with similar lower income challenges.

Thanks rlcarey... didn't know!