Have you submitted an application for a faxless payday loan online, and then been denied the loan? It can be frustrating, especially if you need emergency cash. Here are a few tips that can help you if you find yourself in this situation.
First, you need to figure out why you have been denied. Under the Fair Credit Reporting Act (or "FCRA"), a lender is required to send you an "adverse action letter" or statement of why you were denied credit. You should receive this letter within a few days (or weeks) of when you were denied credit.
If you can't wait that long, you may want to be proactive and get copies of your credit reports to see why you may have been denied. Here's the thing – the credit reports that payday lenders use are different than the credit reports that credit card or mortgage lenders use. Here are the four main credit bureaus that are used by payday lenders. If you have been denied a payday loan, you might want to get in contact with all four of these credit bureaus and let them know you've been denied credit, and want your free copy of your credit report.
Here are the four main credit bureaus used by payday lenders:
1. Teletrack (their website is here).
2. CL Verify (here's their website)
3. Clarity Services (check their website here for contact info)
4. DataX Ltd. (here is DataX's website).
When you get copies of your reports, read them carefully. Check back here in the next few days, and we'll discuss how to read your reports (and give you a few tips about what to do if there are errors on the reports).