How to Issue an Adverse Action Notice in SecureWebX

When a deal is declined, the notice comes off the application itself. Nothing is retyped, the bureau is named, and the copy stays on the file with who sent it.

1. Record the decision on the file

   Open the application in the SecureWebX console and record what happened under Action: declined, or approved on terms other than the ones the applicant asked for. When the answer came back from a lender through a share, the decision is already on the record and you are confirming it, not typing it twice.

2. Open the notice on the application

   Go to Notice on the same application. The notice screen is part of the deal record, which is the point of the feature: a declined file and its notice are one thing, not a file here and a form in a drawer somewhere else.

3. Check the applicant details that carried over

   Name, address and contact details come straight from the application the customer signed, so read them rather than retype them. A co-applicant on the file is part of the same record. Retyping a name and address into a legal document is where errors get introduced, so the screen is built to avoid it.

4. Say whether a credit report was used

   Mark whether the decision relied on a credit report and name the bureau that supplied it, with its contact details, from the list or by typing another bureau. Credit reporting rules require the applicant to be told where the report came from and how to reach that bureau, and the report is pulled on your store's own bureau account.

5. Review the language your counsel approved

   Read the notice before it goes. The stated reasons, the wording and your store's policy on when a notice goes out belong to your compliance counsel; the console builds the notice from the record and sends it. Fix anything that does not read the way counsel wrote it.

6. Send it and keep the copy

   Click Send notice to applicant. The notice goes to the applicant and the copy stays on the application with the decision it reports, and the audit log records who issued it and when. Records are archived, never deleted, so the copy is still there when a question about this deal arrives much later.

You need a SecureWebX login with a role that works finance files, and an application with a decision on it. An adverse action notice is the written notice a consumer receives when credit is denied, or offered on terms less favorable than the ones they asked for. Fair lending and credit reporting rules place that duty on creditors, and a store that takes and works credit applications is squarely in that conversation, which is why SecureWebX builds the notice where the decision is recorded.

Have two things settled before the first notice goes out. Your compliance counsel decides the language and the store's policy on timing. And your bureau details should be to hand, because the notice names the bureau that supplied the report and tells the applicant how to reach it. The adverse action notices feature page covers what the notice carries and where each part comes from.

The notice screen on the application, already carrying the applicant's details, the decision you recorded and the bureau fields waiting for you. After you send, the notice sits on the file next to the decision, the lender shares, the stipulations, the documents and the audit log entry naming you and the time you issued it.

That is the whole reason to do this on the record rather than in a template on somebody's desktop. When a question comes back months later, you open the deal and the answer is there: what was decided, whether a report was used, which bureau, what the applicant was told and who told them. Nothing to reconcile, nothing to reconstruct from memory.

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The clock starts at the decision, not at the moment somebody remembers the paperwork. That is why the first step of this guide is recording the decision on the file: a declined application shows as declined, with a notice screen attached to it, and a file waiting for a notice is visible to a manager reading the inbox rather than invisible in a drawer.

Your counsel sets the window your store works to and the policy for who issues the notice. The console's job is to make the notice a one screen task off a record that already holds every fact it needs, and to keep the copy afterward. The credit application inbox is where a manager watches for files that have a decision and still need one.

A detail on the notice is wrong. Fix it on the application, since the notice is built from that record. A misspelled street on the application produces a misspelled street on the notice, and correcting the source corrects both.

The bureau is not in the list. Type its name and contact details instead. Stores work with more than the largest bureaus, and the notice has to name the one that actually supplied the report on this applicant.

The decision came from a lender and is not on the file. Record it. A lender's answer through a share posts to the application on its own, but a decision given by phone or by the store itself is recorded by you before the notice screen has anything to report.

Something on the screen is not behaving. Open a support ticket from the console and use Describe the issue you're having * to say what you did and what you expected. Tickets carry a reference number, and our support team can see your screen with you and fix it on the call.

Where the decision usually comes from is covered on the Send to Lender page, since a lender's decline arrives on the application through the response portal and the notice follows from that record. The language a store shows applicants in the first place, the privacy notice, the terms and the state disclosures, is managed in compliance disclosures and privacy notices. The LeadLocate Help Center holds the rest of the finance office guides. Notice language or a workflow step your counsel wants is available on request, and our team puts it in production for your dealership.

What is an adverse action notice at a car dealership?

The written notice an applicant receives when credit is denied, or offered on terms less favorable than they asked for, because of their application or their credit report. Fair lending and credit reporting rules place the duty on creditors, and a store that works credit applications issues them.

Where does the notice get its information?

From the application record. Applicant details come from the file the customer signed, the decision comes from what you recorded on it, and the bureau name and contact details are captured on the notice screen.

Does SecureWebX decide what my notice says?

No. The wording, the stated reasons and your policy on when to send belong to your compliance counsel. The console builds the notice from the record, sends it to the applicant and keeps the copy on the file.

How long is the notice kept?

Records are archived, never deleted. The notice, the decision it reports, the date it went out and the audit log entry naming who issued it stay with the application for as long as your store needs them.

Adverse action notices are part of SecureWebX, included with every LeadLocate plan, month to month. Watch the pre-recorded demo, or talk to us about your compliance workflow.

Prefer to talk right now? Call or text 844-376-2274.