Internet - loan sites and my rights

[hoops5]

I recently applied for a home equity loan via the Internet! According to the legal disclosure a representative from this local institution was to contact me, to discuss my application within two business days.

Yesterday, two weeks later, I received notice that I was denied credit based on delinquent past or present credit obligations and Insufficient value or type of collateral. I have several questions:

1). Per my written request, is this institution obligated to provide me with details on the specific delinquencies that had supposedly found in my credit report, or how they came up with insufficient value of collateral without completing an appraisal or pull comparables?

2). What rights do I have, if I believe that they used misleading or misrepresented themselves in effort to have me apply for credit.

“Misleading or misrepresenting themselves by offering interest rates 2 to 3% below the standard market.” The generic clause on the web-site states "Intrest rates are provided as exaples only and are subject to change without notice. Rates posted are available to Internet applicants only, and assume an excellent credit history"

Could this be considred misrepresnting your product, if they don't provide spcifics as to what they may assume as excellent credit?

3). What if I find on my credit report that this institution had never pulled my credit report, as they are leading me to believe in this letter. Do I have an rights to file a complaint to have them investiagted?

4). Does this bank have a right to disciminate against customers who do not bank with them?

 

[David J. Miller]

If you request in writing the specific reason for denying credit, they must by law give you specific reason for denying you credit.

None of your other questions have any merit because a) You did not lose anything by them denying you credit b) This company can deny you credit for any reason they want other than those protected by discrimination laws i.e. race, gender, national origin etc.. c) They are in the business of providing loans so what is their incentive/gain to deny your loan without running your credit? d) Their advertisement was not misleading at all. Since they are providing the loan they get to decide what is excellent credit.

Why don't you go talk to a local bank if you want a home equity loan? And don't tell me because it's cheaper to use an internet company because your experience here proves that argument wrong.