For the loan application, you will have to prepare several documents for the bank to examine your financial capabilities before they approve your loan. But do you know the ways to increase the success rate?
These are some general tips to improve the success rate of applying for bank loans:
- Have at least one established credit facility with any financial institution.
- Avoid having too many credit cards.
- Apply with a joint applicant or co-borrower to increase the chance borrowing capability.
- Build a healthy savings account monthly and have extra cash in hand.
- Have a few assets without any debts or loans on them.
- Get a high, fixed monthly income.
- Loan margin under debt service ratio percentage.
- Ensure CCRIS and CTOS are in good shape before applying for any loans.
- Make timely payments on loan and do not have any outstanding debts.
- Submit completed documents to support the loan application process.
Seriously, getting a bank loan approved is more and more difficult, especially in recent economic situation. Lenders or bankers are more stringent! Other than a complete set of documents required, bankers will definitely study your credit history, current score and payment habit. Hence, it’s sage that you are ready to show a good and clean record before submitting your loan application. Luckily 4 out of 5 of my buyers are getting their loan approved for the past 2 months.
Not quite sure about the tips above? Want to have a good report card to show to the bank? Call me at 012-239 2288 for more in-depth details or to make an appointment for further discussions.