If an applicant decides to drop out of applying for a loan but the other applicant is still moving forward, is there a HMDA Action taking place there? Do we have a withdrawal for one applicant? Is it best practice to start a new application for the remaining applicant or can we continue on with the original application and move forward with just the one applicant?
I want to make sure we are looking at all angles on this one.

Why did they withdraw - because you told them they would not qualify with that applicant involved in the transaction?

The example I was given is that the couple split after applying.

In that case, I would just continue on with the amended application.

I'll second that.

Thank you for your feedback!

Can you take off the one applicant if disclosures have already been pulled? We make the Loan Officer withdraw and start a new application if disclosures have already been pulled with both borrowers. Wondering if this is correct...

What "pulled disclosures" do you mean?

If you're talking about TRID disclosures and the like...it wouldn't make any difference as far as i'm concerned. If you give an LE, one applicant withdraws on their own and the other wants to continue, i'd have no problem continuing on as an amended application. I'd simply want the file well-documented showing what happened.

^^^this.

I am talking about TRID disclosures. Thank you!