2.8.1 Overview

This topic provides an overview of adverse action for pre-screen rejection applications.

• Currently Oracle Financial Services Lending and Leasing triggers 'Adverse Action Letter’ if the application fails in the 'Pre-Screening' stage ('Rejected' Status). But the adverse action letter doesn't contain the 'Adverse Action' i.e., reason for rejection of loan, because these reasons are printed based on 'Stipulations', which can be selected only during the 'Underwriting/Decision' Stage.
• With the current enhancement, the system supports 'Stipulations' in the App Entry stage also, so that user can select stipulations during app entry stage and if the application is rejected after selecting stipulations, the same reasons can be printed in the adverse action letter. Stipulations are required to print the reasons in the adverse action letter, because the application doesn't qualify to move ahead to the underwriting stage, because the applicant is ‘fraud’ or marked as ‘skip’.