Deliver the decision. Protect the applicant's
right to check the report.
Decline a rental application in writing and, when a tenant-screening consumer report contributed, identify the reporting company and explain the applicant's free-copy and dispute rights.
- Decision stated neutrally
- Reporting company identified
- Free-copy and dispute rights
How it works
From the screening decision to a clear written notice — with report rights when required
- 01
Identify the application and decision
Add the applicant, property, decision date and an optional factual basis that matches the screening record.
- 02
Say whether a consumer report contributed
If it did, add the reporting company's name, address and phone so the FCRA notice language appears.
- 03
Review, sign and deliver
Check for any credit-score or local-law additions, then send promptly and retain delivery evidence.
Last updated August 20, 2026
Written by LawLease EditorialReviewed by LawLease Legal Team
By screening stage
Which screening document you need
Use an application and authorization before the decision, an approval letter when the applicant may proceed, and this notice whenever an application is declined or report-based less favorable terms are imposed.
- RA
Rental application
Collect residence, employment, income, household and reference details consistently.
Learn more - BA
Background and credit check authorization
Record permission before requesting a credit or tenant-screening consumer report.
Learn more - AA
Application approval letter
Confirm approval, the offered terms and the deadline to sign the lease and pay the deposit.
Learn more - CS
Co-signer or guarantor agreement
Put a guarantor's promise to cover the tenant's obligations in a signed agreement.
Learn more - RL
Residential lease agreement
Create the binding terms for an applicant who has been approved.
Learn more
What is an application denial and adverse action letter?
An application denial letter tells a rental applicant that the housing provider is not approving the application. When information in a consumer report contributed in whole or in part to that decision, the letter also serves as an adverse action notice under the Fair Credit Reporting Act.
Adverse action is broader than outright denial. A report-based requirement for a co-signer, a larger deposit or higher rent can also trigger the notice duty. The notice gives the applicant the reporting company's contact details and explains that the company did not make the housing decision, that the applicant may request a free report within 60 days and that inaccurate or incomplete information may be disputed. It is also called:
- Rental denial letter
- Tenant adverse action notice
- Application rejection letter
- FCRA adverse action letter
- Conditional approval notice
When a consumer report contributed, turn on the report section and enter the reporting company's details. If the applicant was approved without less favorable report-based terms, use an application approval letter instead.
What an FCRA adverse action notice requires
When a consumer report contributes to an unfavorable rental decision, federal law requires notice of the adverse action and the reporting company's name, address and phone number, including a toll-free number when the agency maintains nationwide consumer files. The notice must say the reporting company did not make the decision and cannot explain the landlord's specific reasons.
The notice must also explain the applicant's right to request a free copy from that reporting company within 60 days and to dispute inaccurate or incomplete information. If a numerical credit score was used, additional written or electronic credit-score disclosures are required; this core template does not collect those score-specific details, so add the provider's compliant score notice before sending.
Whole or part
the notice applies even when the consumer report was only one factor
60 days
for the applicant to request a free report from the named reporting company
Written is best
although federal law permits oral, written or electronic adverse-action notice
- Identify the actual reporting company
- Use the exact name, address and phone shown on the report or provider paperwork. Name every consumer reporting agency whose information contributed when more than one report was used.
- Do not ask the agency to explain your decision
- The notice must say the reporting company did not make the decision and cannot provide the specific reason. The landlord remains responsible for the screening criteria and their application.
- A small contribution still counts
- Send the notice whenever report information played any role, even if income, references or another independently reviewed factor was the main reason for the decision.
- Credit scores need extra disclosures
- When a numerical credit score was used, federal law requires score, range, source, date and key-factor information in writing or electronically. Obtain the correct score disclosure from the screening provider.
- Other laws still govern the decision
- The notice does not validate discriminatory or locally prohibited screening criteria. Check fair-housing rules and state or local requirements for reasons, timing, appeal processes or individualized assessments.
How to write an application denial and adverse action letter
Five steps create a neutral decision record and preserve the applicant's report rights.
Identify the applicant, property and decision date accurately.
- Every affected applicant's legal name
- Complete rental property address
- Date the decision is communicated
Free sample application denial and adverse action letter
Here is the structure before you start. Your answers fill the applicant, property, optional basis and reporting-company details, and the required core report-rights language appears when a consumer report contributed.
Notice of Adverse Action
DATE: TO:
DECISION. Thank you for applying to rent . After careful review, we are unable to approve your application.
BASIS.
CONSUMER REPORT INFORMATION — YOUR RIGHTS. Our decision was based in whole or in part on information in a consumer report provided by , at , phone .
The consumer reporting agency did not make this decision and cannot explain why it was made. You may request a free copy of the report from the agency within 60 days and dispute the accuracy or completeness of information directly with the agency.
Communicating a screening decision?
Real humans read every message — whether it's about which reporting company to name, whether a report contributed or when a separate credit-score disclosure is needed. For a disputed decision or local fair-housing requirement, get a local lawyer on it.