If we have four key factors already listed on an adverse action notice, but also took into account the number of inquiries, can we add that as a fifth factor? And, with this factor, do we have to list the number of inquiries?
Yes, you may add the number of inquiries as a fifth factor. Generally, you would only list four key factors for FCRA purposes, but there is an exception that expressly gives the bank the permission to tack this factor on. As to the actual number of inquiries, there is no requirement to list the actual number—just the factor, itself, is required.
For reference, see:
15 USC § 1681g(f)(9):
“Use of enquiries as a key factor. If a key factor that adversely affects the credit score of a consumer consists of the number of enquiries made with respect to a consumer report, that factor shall be included in the disclosure pursuant to paragraph (1)(C) without regard to the numerical limitation in such paragraph.”