The U.S. Department of Housing and Urban Development (HUD) on Wednesday announced an agreement with Bank of America (BOA) to settle a discrimination claim by a lesbian couple.

The first-of-its-kind settlement stems from a Florida couple that was unable to close a Federal Housing Administration (FHA) insured mortgage because they were not legally married.

The applicant listed her partner's mother as a co-applicant on the loan. The couple were assured by BOA that they were likely to receive a mortgage. However, one business day prior to closing, BOA denied the mortgage because it did not consider the loan applicant and the co-applicant directly related because the applicant and her partner were not married.

HUD's recently published rule, Equal Access to Housing in HUD Programs Regardless of Sexual Orientation or Gender Identity, prohibits lenders from basing eligibility determinations for FHA-insured loans on actual or perceived sexual orientation, gender identity or marital status.

“This agreement demonstrates that HUD will vigorously enforce its Equal Access rule to pursue lenders that discriminate on the basis of sexual orientation, gender identity or marital status,” Helen Kanovsky, HUD's general counsel, said in a statement.

Kanovsky also commended BOA for “stepping up and taking immediate corrective action after HUD notified BOA of the violation.”

Under the terms of the agreement, BOA agrees to pay HUD $7,500 and to notify its residential mortgage loan originators, processors and underwriters of its settlement agreement with HUD.