The appraiser is not an outside source for adverse action purposes as they only provide information on the collateral, which has nothing to do with the character or credit capacity of the borrower.
Denied Due to Collateral & Adverse Action Notice
If a loan is denied due to collateral value, would the adverse action notice include that an outside source was used in the decision and the outside source was the appraiser? I believe the appraiser would NOT be an outside source for this purpose.
First published on 06/30/2019