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Banking term of the day

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Adverse Action
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▪Under the Equal Credit Opportunity Act, a creditor’s refusal to grant credit on the terms requested, termination of an existing account, or an unfavorable change in an existing account.

Adverse Action Notice
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▪The notice required by the Equal Credit Opportunity Act advising a credit applicant or existing debtor of the denial of their request for credit or advising of a change in terms considered unfavorable to the account holder.

 

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Banking Term of the day

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