We are rehashing an old requirement to try to update and streamline our processes. We currently provide the Credit Score Exception Notice on all our real estate loans (form H-3). We do not use a RBP notice at all. We provide this on all loan applications (approved, denied and withdrawn) and within 3 business days of application.

We are wondering if the following is accurate and in line with the FCRA.

1) If the loan is denied based on information in the credit report and the adverse action notice will contain the score and factors - we DO NOT need to send the CSEN also?

We are finding contracting responses on this and trying to follow the FCRA citations.
Or do we need to send it as it contains the Notice to Home Loan Applicant disclosure?


2) If the loan is withdrawn, say within 2 days of application, we would still send the CSEN. We do not see an out for this within FCRA – correct?

3) If we pull a credit report on a non-borrower/applicant in a community property state would we have to provide them with the CSEN? We currently do not and are unsure as they do not seem to meet the definition of “consumer”.


Any thoughts are appreciated.

1. Form H-3 would not be necessary however you still have to provide the required disclosure and NHLA under FCRA 609(g). Using the H-3 to do this is the simplest way to comply.

2. There is no "3 business day" exemption for this disclosure requirement.

3. I'm not familiar with community property state requirements so can't help you on this one. We would never have a situation where we would pull a consumer report on a non-applicant/borrower.

We provide a credit score disclosure exception notice in connection with all consumer reports obtained, including non-applicant spouses in marital/community property states. We're using the consumer report in connection with an application for credit and must therefore notify the non-applicant spouse of this fact.

Thank you Dan and ComplyCycle. This helps tremendously!