It is our policy that borrowers with a loan that is currently in active deferment are denied new credit. Is “poor performance with us†a permissible adverse action reason? Our most common scenario is a member has one loan (in deferment), no other delinquencies, and the deferment is because of a financial hardship. This doesn’t fall under poor performance with us, really.
Would a valid AA reason be “we don’t grant additional credit when in deferment�
I'm stumped on this one and searching for a valid reason to deny the new loan request.