Notice to Home Loan Applicant Disclosure

Question:

If an application is withdrawn by a borrower are we required to give them the Reg V "Notice to Home Loan Applicant" disclosure?

Answer:

Yes. The Notice is triggered whenever you "use" a credit score for a consumer purpose loan application secured (or will be secured if it is closed) by a 1-4 family dwelling. Therefore, the notice should be given on all applicable applications whether denied, withdrawn, closed for incompleteness or the loan is made.

First published on BankersOnline.com 3/19/07