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#2087070 - 07/07/16 07:51 PM Credit Denial Notice - Disclosure Boxes
KTMiteComply Offline
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KTMiteComply
Joined: Jul 2007
Posts: 3,298
only if I want to....
Hey guys,

There has been alot of discussion concerning this, but I am going to ask one more time exactly like this for discussion sake. Here is how our disclosure boxes look on our AA Notice:

___ Our Credit Decision was based in whole or in part on information obtained in a report from the consumer reporting agency listed below:
__ equifax
__ experian
__ transunion

___ If checked, credit score information was also used to take adverse action.

___ Our credit decision was based in whole or in part on information obtained in a report from an outside source


OK, so if we deny on something like an Appraisal - LTV is too high so we choose Unacceptable Collateral, in my past experience I understood that we checked NONE of these boxes, only the Unacceptable Collateral up in the body of the Notice, but none of these boxes here were to be checked.

Is there somewhere you can point me to in the Regulation to help guide me one way or the other?

Thanks so much!
Karen
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Trust in the Lord with ALL your heart...Prov 3:5-6

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#2087148 - 07/08/16 01:23 PM Re: Credit Denial Notice - Disclosure Boxes KTMiteComply
KTMiteComply Offline
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KTMiteComply
Joined: Jul 2007
Posts: 3,298
only if I want to....
Happy Friday everybody! bump please smile thanks a bunch!
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Trust in the Lord with ALL your heart...Prov 3:5-6

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#2087154 - 07/08/16 01:37 PM Re: Credit Denial Notice - Disclosure Boxes KTMiteComply
JustKeepSwimming Offline
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Joined: Jun 2015
Posts: 36
Midwest
https://consumercomplianceoutlook.org/20...nder-ecoa-fcra/

This is usually the first place I go when I have questions about denials. While I don't think there is anywhere that will point out every circumstance, such as the collateral denial that you have described, it does walk you through what gets checked and when. And yes, I agree that you wouldn't check any of those boxes for the denial that you described.

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#2087155 - 07/08/16 01:37 PM Re: Credit Denial Notice - Disclosure Boxes KTMiteComply
Rocky P Offline
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Joined: Jun 2003
Posts: 7,650
Florida
KTM, look at the commentary and appendix C

https://www.bankersonline.com/regulations/12-1002-appc

Especially the C-1 disclosure. That is for the FCRA, and if the credit bureaus were not used in the decision, there would be no FCRA action or disclosure needed.
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#2087158 - 07/08/16 01:45 PM Re: Credit Denial Notice - Disclosure Boxes KTMiteComply
Dan Persfull Offline
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Dan Persfull
Joined: Aug 2002
Posts: 47,517
Bloomington, IN
Sec. 615. Requirements on users of consumer reports

(a) Duties of users taking adverse actions on the basis of information contained in consumer reports. If any person takes any adverse action with respect to any consumer that is based in whole or in part on any information contained in a consumer report, the person shall


If any of the obtained information influenced the credit decision you check the box. If it did not affect the credit decision you do not check the box.
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The opinions expressed are mine and they are not to be taken as legal advice.

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#2087162 - 07/08/16 01:54 PM Re: Credit Denial Notice - Disclosure Boxes KTMiteComply
KTMiteComply Offline
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KTMiteComply
Joined: Jul 2007
Posts: 3,298
only if I want to....
Thank you so much everybody as always for your assistance!

Have a great day,
Karen
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Trust in the Lord with ALL your heart...Prov 3:5-6

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