The full explanation
If the decision was based on a credit report or another consumer report, the company must also give you the score that was used, the name and contact information of the company that supplied the report, and explain your right to a free copy of that report and to dispute errors. The reporting company did not make the decision and cannot tell you why it was made.
An example
A bank turns Sofía down for a car loan. A few days later she gets an adverse action notice with the reasons, her score and the name of the company that supplied her report. Sofía asks that company for her free copy to check it for errors.
You will see it in…
- The letter or email you get after an application is denied
- A checking account or apartment denial based on something in a report
- A lender's answer when it turns down your request for prequalification or preapproval
