(a) Covered application. Except as provided in paragraph (b) of
this section, covered application means an oral or written request
for a covered credit transaction that is made in accordance with procedures
used by a financial institution for the type of credit requested.
(b) Circumstances that
are not covered applications. A covered application does not
include:
(1) Reevaluation, extension, or renewal
requests on an existing business credit account, unless the request
seeks additional credit amounts.
(2) Inquiries and prequalification requests.
