Your question is Deliver Loan Application Bad News. Take a moment with it on the right.
Talk me through your thinking if you like. When you're confident, submit your answer and I'll grade it like a real screen (7/10 or better passes).
You are managing a client relationship and learn that a loan or product application will not be approved as expected, or will be delayed because of underwriting, documentation, or policy issues. You need to communicate the outcome clearly while protecting the relationship and keeping the client engaged.
Tell me about a time you had to deliver bad news to a client regarding a loan or product application.