Hypothetical - The denied applicant has no tradelines and no credit score but there is a collection company reporting what's left on a debt purchased from the original creditor.

Which reason should be included in reasons for denial, "Limited Credit" or "No Credit File"?

I wouldn't use "No Credit File" as the credit file you have is telling you there is a collection.

Thanks. That's what I thought too. I only asked because of a different interpretation shared with me.