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#202940 - 06/22/04 08:58 PM adverse action for a married couple
abanker Offline
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abanker
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Posts: 76
Colorado
Our third party consultant put in her report that we need to be sure and send separate adverse action notices even if they are married. Is this new? Can you tell me where to find it if it is indeed accurate. We have been sending a combine notice to married couples.

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#202941 - 06/22/04 09:09 PM Re: adverse action for a married couple
Anonymous
Unregistered

News to me. Tell her to show you her source.

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#202942 - 06/22/04 09:11 PM Re: adverse action for a married couple
Anonymous
Unregistered

We send one notice if the applicants are living at the same address.

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#202943 - 06/22/04 09:47 PM Re: adverse action for a married couple
SMQ, CRCM Offline

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Quote:

We send one notice if the applicants are living at the same address.



If the applicants are not married, but at same address; do you still send just one?
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#202944 - 06/22/04 11:51 PM Re: adverse action for a married couple
Andy_Z Offline
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Is the intent to separately deliver an FCRA notice incorporated into your AAN?
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#202945 - 06/23/04 02:44 PM Re: adverse action for a married couple
Anonymous
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If the applicants are unmarried but at the same address we send one notice also. We incorporated three columns of checkboxes on our AAN....Applicant, co-applicant, co-signer. This way we can indicate which denial reasons belong to which person as well as who is getting the FCRA disclosure.

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#202946 - 06/23/04 03:37 PM Re: adverse action for a married couple
Andy_Z Offline
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If you have derogatory credit reports on more than one, and your FCRA notice is on your AAN, do you send more than one AAN?
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#202947 - 06/23/04 05:09 PM Re: adverse action for a married couple
abanker Offline
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abanker
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Colorado
Sorry, but back to my original question. If they are married, do we have to send separate notices? Yes our FCRA is on our AAN.

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#202948 - 06/23/04 05:15 PM Re: adverse action for a married couple
Andy_Z Offline
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If the purpose of the AAN is to provide the FCRA notice, yes. Reg. B allows a single AAN but the FCRA does not. So it depends on why they are being denied and if that reason applies to one or both.
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#202949 - 06/24/04 01:29 PM Re: adverse action for a married couple
Anonymous
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If the FCRA notice is going to apply to both parties living at the same address we would still only send one notice. The notice is addressed to both parties and will indicate that the FCRA notice applies to both the applicant and co-applicant. We feel that is sufficient because the notice is addressed to both names and they live at the same address.

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#202950 - 06/24/04 02:47 PM Re: adverse action for a married couple
Andy_Z Offline
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Please review the Stinneford letter. You address it to both, but increase your risks by expecting them to share. One could argue you did not deliver the FCRA notice to each.
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#202951 - 06/24/04 08:20 PM Re: adverse action for a married couple
David Dickinson Offline
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Quote:

Quote:

We send one notice if the applicants are living at the same address.



If the applicants are not married, but at same address; do you still send just one?



Yes. Address it to both if the info is accurate for both of them. If they have different info (one needs the FCRA notice, but the other doesn't) then send 2 notices specific to each.
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#202952 - 06/24/04 08:40 PM Re: adverse action for a married couple
Anonymous
Unregistered

We have check boxes beside the FCRA disclosure - one for applicant, one for co-applicant, and one for co-signer. That way we don't have to send two notices if they are at the same address. We just mark who the FCRA notice applies to. We have the same check boxes beside each denial reason so it is clear which reasons belong to which person.

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#202953 - 06/24/04 08:48 PM Re: adverse action for a married couple
David Dickinson Offline
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Quote:

We have check boxes beside the FCRA disclosure - one for applicant, one for co-applicant, and one for co-signer. That way we don't have to send two notices if they are at the same address. We just mark who the FCRA notice applies to. We have the same check boxes beside each denial reason so it is clear which reasons belong to which person.



Perfect.
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#202954 - 06/25/04 03:56 PM Re: adverse action for a married couple
abanker Offline
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So the whole issue of separate notices has nothing to do with Privacy/confidentiality, the issue is disclosing the right turndown information to the right individual? We thought it was a customer confidentiality concern.

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#202955 - 06/25/04 05:19 PM Re: adverse action for a married couple
SMQ, CRCM Offline

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You're right, it is not a privacy issue. Statement came out this year that there is no expectation of privacy in a joint application. Goes on to say that reason for denial must be specific, for example you can't just vaguely state that the co-applicant did not qualify.
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#202956 - 06/25/04 08:17 PM Re: adverse action for a married couple
David Dickinson Offline
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Central City, NE
Quote:

So the whole issue of separate notices has nothing to do with Privacy/confidentiality, the issue is disclosing the right turndown information to the right individual?



EXACTLY! SoccerMom is right (again).
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#202957 - 06/25/04 11:29 PM Re: adverse action for a married couple
Dolly Nugent Offline
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Southern California
I'm interested to know what EXAMINERS are saying about this. I'll bet you money that they don't realize how much controversy there is about this issue.

If you have had an experience with an exam, please share.
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#202958 - 06/28/04 02:42 PM Re: adverse action for a married couple
SMQ, CRCM Offline

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Between the lines
Thanks David , nice way to start a Monday.
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#202959 - 06/28/04 04:08 PM Re: adverse action for a married couple
Andy_Z Offline
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I'm not certain I am following this as the context has changed and the Q&A isn't specific. Husband and wife apply. Each are denied based on credit. Reg. B allows one AAN to a primary, but the FCRA does not.

Stinneford ...when there are two applicants a creditor cannot send a combined ECOA/FCRA adverse action notification to only the primary applicant if the application is denied, even in part, based on information in a co-applicant's consumer report. In that circumstance, the co-applicant has been the subject of "adverse action" and must be provided his or her own separate notification to satisfy the requirement of Section 615(a) of the FCRA.

I am reading that Anon has check boxes but sends one notice addressed to both, with check boxes as to whom it applies to. One notice addressed to both, even at the same address, is not separate notification to my understanding. If the FCRA fully expected them to share, it wouldn't be so specific.

Anon's posts are vague to me, perhaps I am not reading it correctly but I also don't want someone to "read" the answer they want. One notice to one address was the basis of the question. David was indicating two should be sent in some circumstances and I wanted to be clear as to when.
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#202960 - 06/29/04 01:41 AM Re: adverse action for a married couple
David Dickinson Offline
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Central City, NE
Let me clarify: When a husband and wife apply, I don't think that you can say that one is the primary and the other is a co-applicant. I think that they are both the primary applicant (assuming that they are buying a joint asset). So I believe that sending one AAN with ECOA/FCRA info to both the husband and wife is sufficient to comply with both laws and the spirit of the Stinneford interpretation.
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#202961 - 06/29/04 01:02 PM Re: adverse action for a married couple
Anonymous
Unregistered

According to our FDIC examiners, if the turndown is because of bad credit, each applicant must receive their own separate FCRA notice. It doesn't matter what the relationship is or what the address is. There is no exception in the FCRA for husband and wife or people living at the same address.

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#202962 - 06/29/04 04:32 PM Re: adverse action for a married couple
Dolly Nugent Offline
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Southern California
Janec

Which FDIC region are you in?
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#202963 - 06/29/04 07:27 PM Re: adverse action for a married couple
David Dickinson Offline
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Quote:

According to our FDIC examiners, if the turndown is because of bad credit, each applicant must receive their own separate FCRA notice. It doesn't matter what the relationship is or what the address is. There is no exception in the FCRA for husband and wife or people living at the same address.



If I address the letter and AAN to "John and Jane Doe" and include the FCRA info, how did THEY not get notification. Show me in the FCRA where it says each must recieve their OWN disclosure. Your examiners are making up stuff again. There is no exception because there is no rule.
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#202964 - 06/29/04 09:34 PM Re: adverse action for a married couple
Starky Offline
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David, the BOL article below states both applicants should receive their own FCRA notice even if they live at the same address and even if they are married to each other. I agree with you, however, after reading the Stinneford letter I can see why many have the opinion that each applicant get their own notice.

BOL Article

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