Reb B denial reasons

Posted By: Anonymous

Reb B denial reasons - 09/16/04 07:13 PM

Can you deny someone for accounts being paid by a Financial Counseling Program?
Posted By: Dorothy W

Re: Reb B denial reasons - 09/17/04 04:12 PM

If the applicant is using a service to pay their bills because they can't remember to write out their own checks in a timely matter - why would the bank care for repayment purposes? If you're that worried about a bill payment service - ask for payments by automatic debits.

If this service is a result of past poor performance on debts and these debts have been renegotiated (charged down) - the applicant's credit score and payment history should reflect their poor payment record. These issues should be your basis for denial - not whom the payment would be remitted by.
Posted By: Jan94

Re: Reb B denial reasons - 07/26/05 11:42 PM

I'm tagging on to this old thread as it is applicable to my question. Our credit scoring program provides that if an applicant's credit bureau reflects a Public Record or trade line indicating that they had filed for Financial Counseling within past 48 months, that the application will be declined. Financial Counseling is not one of the reasons in the Reg B Model form, but there is an "Other". Can we indicate "Financial Counseling" as a reason on our AAN? Thank you.
Posted By: Andy_Z

Re: Reb B denial reasons - 07/27/05 02:33 AM

If that is what you are basing your decision on. It isn't a prohibited basis.