Question

Randall submits a complete loan application on October 2. The lender denies the loan application on October 3. When must the lender deliver the adverse action notice?

A. Within 90 days of receiving the completed loan application.
B. Within 10 days of the credit decision.
C. Within 30 days of the credit decision.
D. Within 30 days of receiving the completed loan application

Answer 1

The lender is required to deliver the adverse action notice to Randall within 30 days of receiving his completed loan application, as per the regulations of the ECOA and FCRA.

Step-by-step explanation:

The question pertains to the timing of delivering an adverse action notice after a loan application has been denied. According to the Equal Credit Opportunity Act (ECOA) and the Fair Credit Reporting Act (FCRA), the correct answer is Within 30 days of receiving the completed loan application. This means that the lender must provide Randall with the adverse action notice no later than 30 days from October 2, the date on which he submitted his complete loan application.