Within how many days must a creditor deny an incomplete application or provide a notice of incompleteness?

A creditor is required to respond to an incomplete mortgage application by denying the application or providing a notice of incompleteness within 30 days. This timeline is specified under Regulation B, which implements the Equal Credit Opportunity Act (ECOA).

The purpose of this requirement is to ensure that applicants are not left in uncertainty about the status of their application for an extended period. By responding within 30 days, creditors maintain transparency and allow consumers to understand what additional information is needed to move forward with their application, should they wish to do so. Meeting this timeline helps facilitate a smoother process for both the creditor and the applicant, promoting better customer service in the lending process.