Which of the following does NOT describe an adverse action?

The correct response highlights a situation where an adverse action does not occur, which is central to understanding what constitutes an adverse action in the mortgage compliance context.

An adverse action is defined as a negative decision regarding a consumer's credit application or existing credit arrangement. This includes refusing to grant credit on the requested terms, terminating accounts unfavorably, or denying requests for credit increases. When a loan is approved exactly as submitted, it indicates that the lender has accepted the application under the terms that the borrower requested. This scenario represents a favorable outcome for the borrower and does not fit the definition of an adverse action, which is characterized by negative implications for the consumer.

Understanding this distinction is vital for individuals in the mortgage industry, as it underscores the importance of reporting and compliance practices when assessing consumer credit decisions.