Someone tried to apply for an HE loan in another person's name. Thankfully, we caught this. Because the fraud victim did not enter the application, we are unable to just cancel it, so we chose to withdraw it. That being said, I just want to confirm we are okay with NOT reporting it on the HMDA LAR...or is there something requiring us to do so? Thanks in advance :-)

You do not have a valid application if it is fraudulent.