The WhyDenied Credit Glossary

Adverse action notice

A notice a lender, landlord, or insurer must send when they deny you — or charge you more — based on a credit or consumer report. It names the company that supplied the report and explains how to get a free copy and dispute errors. Required under the FCRA and ECOA.

Learn more: Appeal an apartment denial

Balance billing

When an out-of-network provider bills you for the difference between their charge and what your insurance paid. The No Surprises Act bans it in many emergency and in-network-facility situations.

Learn more: Surprise medical bills

Buy-here-pay-here (BHPH)

A car lot that finances the vehicle itself instead of using an outside lender, so it approves almost anyone — usually at a high interest rate and an inflated price.

Learn more: No credit check car lots

Charge-off

When a creditor decides a debt is unlikely to be repaid and writes it off as a loss for accounting. The debt isn’t forgiven — you still owe it, it can be sold to a collector, and it can be reported for up to about seven years.

Co-signer / guarantor

Someone who agrees to be responsible for a lease or loan if you don’t pay. Their income and credit can help you qualify — but they’re on the hook if you default.

Learn more: Rent with no co-signer

Collection account

Also called: Collection

A debt the original creditor has turned over or sold to a debt collector. It can appear on your credit report; medical collections follow their own special rules.

Learn more: How to remove medical collections · Renting with collections

Credit freeze

Also called: Security freeze

A free tool that restricts access to your credit report so new accounts generally can’t be opened in your name. You place and lift it with each bureau, and it doesn’t affect your score.

Learn more: How to freeze your credit

Credit lock

A bureau service similar to a freeze that lets you toggle access on and off, often through an app. Unlike a freeze, a lock is a product (sometimes paid) governed by the bureau’s terms rather than by law.

Learn more: Freeze vs. lock

Credit report

A record, kept by the national credit bureaus, of your borrowing and payment history. Lenders, landlords, and others use it to gauge risk. You’re entitled to free copies and to dispute errors under the FCRA.

Credit utilization

The share of your available revolving credit you’re using — your card balances divided by your limits. A lower ratio is generally viewed more favorably.

Learn more: What affects your credit score

Credit-based insurance score

A score some insurers calculate from your credit information to help set premiums. It’s different from a regular credit score, and its use is restricted or banned in some states.

Learn more: Why your car insurance keeps rising

CROA (Credit Repair Organizations Act)

A federal law regulating companies that sell credit-repair services. Among other things, it bans charging before services are performed and making false claims — which is why honest providers avoid “guaranteed removal” promises.

Debt validation

Your right to make a debt collector prove a debt is yours and accurate. Dispute in writing — generally within 30 days of their notice — and they must pause collection until they verify it.

Learn more: Your rights when a collector calls

Debt-to-income (DTI)

The share of your monthly income that goes to debt payments. Lenders and some landlords use it to judge whether you can afford a new obligation.

Learn more: Denied an apartment for income

Delinquency

Also called: Late payment

A missed or late payment. How late it is — 30, 60, or 90-plus days — affects how it’s reported and how much weight it carries.

Dispute

A formal request to a credit bureau or screening company to correct or remove inaccurate information. They generally must investigate, usually within about 30 days. Disputes are for genuine errors — not accurate records.

Learn more: Read your tenant-screening report

ECOA (Equal Credit Opportunity Act)

A federal law making it illegal to discriminate in lending based on race, color, religion, national origin, sex, marital status, age, or because you receive public assistance. It also entitles you to the reasons behind a denial.

Eviction record

A record of an eviction filing or judgment that can appear on tenant-screening reports, generally for up to seven years. Dismissed or inaccurate records can be disputed.

Learn more: Second chance apartments

FCRA (Fair Credit Reporting Act)

The federal law governing credit and consumer reports. It gives you the right to see your reports, dispute errors, and get a free copy after an adverse action, and it limits how long most negatives can be reported — about seven years.

FDCPA (Fair Debt Collection Practices Act)

The federal law governing third-party debt collectors. It bars harassment and false statements, requires debt validation, and lets you limit how and when they contact you.

Learn more: A collector is calling about a medical bill

Fraud alert

A free flag you place on your credit file telling lenders to take extra steps to verify your identity before opening credit. It’s lighter than a freeze and lasts a set period — longer if you’re an identity-theft victim.

Learn more: Fraud alert & freeze guide

Garnishment

A court-ordered deduction from wages or a bank account to collect a debt after a creditor wins a judgment. Whether and how much can be garnished varies by state.

Learn more: What happens if you ignore medical debt

Good Faith Estimate

An up-front estimate of expected charges that providers must give uninsured or self-pay patients under the No Surprises Act. If the final bill comes in much higher, you may be able to dispute it.

Learn more: Surprise medical bills

Hard inquiry

A check of your credit that happens when you apply for credit and, sometimes, housing. It can have a small, temporary effect on your score and is visible to others who pull your report.

Learn more: Does an apartment denial hurt your credit?

Medical collection

A medical debt that’s gone to a collector. The bureaus now remove paid medical collections, wait about a year before showing unpaid ones, and exclude those under about $500 — and a 2025 federal rule to go further was vacated, so verify what’s reporting.

Learn more: Do medical bills affect your credit?

No Surprises Act

A federal law, in effect since 2022, that protects you from many surprise out-of-network bills — for emergencies and at in-network facilities — by banning balance billing in those situations.

Learn more: Surprise medical bills explained

Pay-for-delete

An arrangement where you pay a collector in exchange for removing a collection from your report. It’s unreliable and widely discouraged — collectors may not honor it and it can conflict with bureau rules. Disputing genuine errors is the legitimate path.

Learn more: Pay-for-delete on medical collections

Secured credit card

A card backed by a refundable deposit that sets your limit. Because the deposit lowers the lender’s risk, it’s a common tool for building or rebuilding credit when used responsibly.

Soft inquiry

A check of your credit that doesn’t affect your score — like checking your own report, a pre-approval offer, or some background checks. Generally only you see it.

Learn more: Soft vs. hard inquiry

Statute of limitations (on debt)

The state-set time limit during which a creditor can sue to collect a debt — often three to six years, but it varies. It’s separate from how long a debt can be reported, and in many states making a payment can restart it.

Learn more: Medical debt & the statute of limitations

Tenant-screening report

A consumer report landlords buy that blends your credit, rental and eviction history, and public records. It’s covered by the FCRA, so you can get your own copy and dispute errors.

Learn more: How to read your tenant-screening report

Time-barred debt

A debt old enough that the statute of limitations to sue has expired. A collector can still ask you to pay, but generally can’t win a lawsuit if you show up and raise the expired statute.

Learn more: Old medical debt & the SOL