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Cancel a loan application

You may cancel a loan application when the loan should not be funded, such as when your borrower requests to cancel or your loan review finds a problem. Loans can be canceled at any time before loan funding. Your borrower is notified by email upon cancellation, and the record moves to the Activity Archive.

Best Practice: If you are only waiting on something to complete a loan action, use Pending instead of Cancel.

To cancel a loan application

  1. Open the loan record in the Action Center (Program Maintenance > Action Center)
  2. Go to the Action Steps box.
  3. In the Establish... step, click the orange Cancel button.
  4. Select a reason, or select Other to type your own. 
    Note: The reason you select or type in is sent to your borrower in the cancellation email. It is also stored with the record for review by supervisors, auditors or compliance.
  5. Click Cancel Step in the lower right corner of the screen.

The application is canceled and your borrower receives an email notification. The record moves to the Activity Archive.

Canceling does not undo the hard credit pull from the application. If your borrower reapplies within 30 days, the system uses the saved credit score. A new credit pull will not be required.

 

To learn what happens when a borrower applies again, see Borrower reapplies after a canceled application.