Credit Authorizer how-to
How to Send an Adverse Action Notice
Denials must be explained.
Quick answer
Denials must be explained. In short: confirm; list; name, then complete the remaining steps below.
Step by step
Confirm the decision.
List the main reasons.
Name the credit bureau used.
Explain the right to a free report.
Send on time.
Keep a copy.
Safety reminders for credit authorizers
- Protect applicant data
- Follow FCRA and ECOA
- Report fraud
- Avoid discrimination
Key terms
Authorization · Credit report · Credit score · Credit limit · Adverse action notice · FCRA: see the full credit authorizer glossary.