Creditors use the following criteria to check whether you qualify for a loan:
1) Credit Records- Your credit record will give an idea about how responsible you have been in using credit. Creditors consider the charge-offs, judgments, bankruptcy records on your credit report, before deciding to give you a loan. Even if you qualify for a loan, the interest rate at which the loan is offered depends on your credit records.
2) Payment history- Creditors also review your payment habits. If you have too many late payments, you may not qualify for a loan. They take into account all delinquent accounts in the past 3 years.
3) Employment status- By reviewing your current income, creditors estimate whether you will be able to make timely repayments. Creditors would prefer to give a loan to someone who has been in a stable job with a fixed salary.
Recently because of the crisis in the finance industry, it has become very difficult to qualify for a loan, without an excellent credit score. It is difficult to say what would be the exact score, to get a loan at reasonable rates of interest. But if you are thinking of applying for a loan, you should improve your credit score, to increase your chances of qualifying for a loan.
If you are denied loan a number of times, it will further lower your credit score. Every time you apply for a loan, there is a hard inquiry listed on your credit report. Too many hard inquiries have a negative impact on your credit records.
Hi sarahwelford,
I recently header about this forum & joined without procrastination.
If you wish to get loan then you have to search for your nearest lender or apply to bank for loan.
But Listen, You must have to qualify for rules & regulations of loan provider.
You must have 620* Credit score ?
You need to provide latest bank statements to service provider.
Other terms & condition will be applied by your specific location.
Thanks You so much.
________________________
Procrastination is the enemy of your financial success.
:D
Hi sarahwelford,
Creditors use the following criteria to check whether you qualify for a loan:
1) Credit Records- Your credit record will give an idea about how responsible you have been in using credit. Creditors consider the charge-offs, judgments, bankruptcy records on your credit report, before deciding to give you a loan. Even if you qualify for a loan, the interest rate at which the loan is offered depends on your credit records.
2) Payment history- Creditors also review your payment habits. If you have too many late payments, you may not qualify for a loan. They take into account all delinquent accounts in the past 3 years.
3) Employment status- By reviewing your current income, creditors estimate whether you will be able to make timely repayments. Creditors would prefer to give a loan to someone who has been in a stable job with a fixed salary.
Hi sarahwelford,
Recently because of the crisis in the finance industry, it has become very difficult to qualify for a loan, without an excellent credit score. It is difficult to say what would be the exact score, to get a loan at reasonable rates of interest. But if you are thinking of applying for a loan, you should improve your credit score, to increase your chances of qualifying for a loan.
If you are denied loan a number of times, it will further lower your credit score. Every time you apply for a loan, there is a hard inquiry listed on your credit report. Too many hard inquiries have a negative impact on your credit records.