I've heard many theories on the amount of reasons to provide for denials. The commentary says no more than four unless one is for excessive inquiries.
Last edited by James M. Moore; 08/20/13 07:41 PM.
I look at it this way...You have made loans to persons with bankruptcies in the past. Why not this one? (The answer to the question is your second denial reason) You are required to provide the principle reasons for denial and I'm assuming there is more than just the one you stated.
It is also a good idea to provide the maximum four as it makes it harder for an examiner to include denials for comparisons to marginally approved credit during fair lending reviews. They need apples to apples for comparison.
James M. Moore, CRCM
My postings are not legal advice and may not be endorsed by my employer.