Unpacking Adverse Action Requirements

On-Demand Webinar:
StreamedJul 19, 2023Duration90 minutes
  • Unlimited & shareable access starting two business days after live stream
  • Available on desktop, mobile & tablet devices 24/7
  • Take-away toolkit
  • Ability to download webinar video
  • Presenter's contact info for questions
See Registration Options

This webinar will navigate through the requirements of Regulation B and FCRA when a loan application is denied, incomplete or withdrawn, or when unfavorable changes to the terms of existing credit arrangements are occurring.

Tips and tools will be provided!
  • Properly notify applicants when denying a loan request
  • Identify and document when an inquiry becomes an application
  • Explain the requirements for an incomplete or withdrawn application
  • Understand the notification options for business credit
  • Comply with Reg B’s timing requirements for loan denials
  • Effectively use the eight sample notification forms referenced in Regulation B
  • Identify when the FACT Act requirements apply to denial notices
  • Appropriately fulfill notification requirements when terms change for existing borrowers
  • Monitor for frequently identified errors on adverse action notices
  • Develop a tracking method for applications not originated
  • Recognize potential fair lending discrimination practices


Accurate communication with applicants and existing borrowers is critical, especially when the application is being denied or the loan terms are changing for a pre-existing credit arrangement. Adverse action notices are designed to communicate concern to applicants and borrowers. Along with being an informational notice, a loan denial triggers Regulation B requirements, and depending on the reason for denial, a Fair Credit Reporting Act (FCRA) notice may also be mandated. Examiners have long identified weaknesses in the handling of loan applications that never yield an originated loan. This webinar will focus on pinpointing when an inquiry becomes an application, important timing requirements, and proper completion of the adverse action notice and other notification options, including a counteroffer.

This program will also review the CFPB’s advisory opinion and address the notification requirements when there are unfavorable changes to the terms of existing credit arrangements. You will learn about the notification requirements to both consumer and business applicants. Common regulator-identified errors will be explained and tips on how to avoid them will be provided. To help meet fair lending and Reg B compliance standards, participants will receive a tool designed to document the second review of a denied loan file.


This informative session will best suit loan officers, loan processors responsible for denials and/or second reviews, compliance officers, and auditors.


  • Application trigger chart, by regulation
  • Second review checklist of adverse action/withdrawn files
  • Chart explaining each adverse action reason and which to use in different scenarios
  • Sample adverse action tracking log
  • Employee training log
  • Interactive quiz
  • PDF of slides and speaker’s contact info for follow-up questions
  • Attendance certificate provided to self-report CE credits

NOTE: All materials are subject to copyright. Transmission, retransmission, or republishing of any webinar to other institutions or those not employed by your institution is prohibited. Print materials may be copied for eligible participants only.


"The webinar was very informative. It answered all of the questions that I had and asked during the presentation."
- James, Dakotaland Federal Credit Union

Presented By

Molly StullMolly Stull
Brode Consulting Services, Inc.