You Need More Than Good Credit To Get A Loan

posted on Sep 20, 2019 |   241 likes

What if we told you that having impeccable credit may not be sufficient to get you that desired loan?

What if we told you that having impeccable credit may not be sufficient to get you that desired loan?

Granted, a good credit report definitely pushes you to the top of the line for loan applications and ensures you get better interest rates. However, there are still other factors which must be considered before a loan is granted to you by your financial services provider.

At the end of this post, you will understand what other factors are equally – if not more - important.

Your Monthly Expenses

Your monthly expenses are one of the most critical factors in qualifying for a loan. A technical term for it is Debt-To-Income Ratio (DTI)

 As a lender, when you request for a loan, we add up certain monthly payments for which you are obligated, including any running loans, rent, mortgage, etc, then we arrive at what your potential re-payment will be with your new loan.

Your combined monthly re-payment amount is then compared with your gross monthly income.

Gross monthly income has to be proven with bank statements of your salary account.

So, regardless of how high your credit score may be or how responsibly you are making payments on your existing debts, most personal lenders, including Page Financials, place a high loan qualification value on your ability to repay your loan after considering all other circumstances surrounding your income.

Use of Funds

Some lenders would ask you what you want the loan for, some even place limits on what you can do with the borrowed funds.

This is one of the advantages of taking a personal loan from Page Financials. It is considered a "blanket loan," meaning that how you use the money is totally your choice, we don’t ask, and we don’t want to know.

Most lenders won’t grant you a loan if they know that you want to use the money for a family vacation, but you can take a Page loan to sponsor your vacation to any part of the world as you may please. It’s your money, we just let you own it.

The State Where You Live/Work

We particularly have a large number of people talking about this daily on our social media channels.

People who are somewhat qualified (even with great credit score) but still cannot access our loan because of the state where they live and work .

Lending laws are regulated on both the state and the federal level. Some states do not allow certain types of lending, such as payday loans or personal loans.

Lenders also consider their recollection strategies before deciding the areas where people can access their facility.

Payment History

Much like how we’re able to infer your personality by considering how early or late you show up for meetings, your payment history is crucial in determining whether you are to be trusted with a loan or not.

Lenders want to see that you make your payments on time. This is very crucial and you should pay serious attention to your due dates before signing the loan offer.

Employment History

Top on our requirements list, it is clearly written that we need at least six months bank statement of your salary account. Here’s why; like many of the examples above, employment history can help determine if a borrower is responsible, consistent, and therefore, of reasonable lending risk.

Since salary earners’ loan is classified as high risk in the sense that it does not require any collateral or guarantor to access, the major stake in it for the lender is your pay cheque.

The lender needs some form of assurance that you are not just employable but that you are able to keep your job for a reasonable period of time.

Although there are a few cases where we consider people who recently changed jobs, once there is substantial evidence on the reason for the change, or there’s guarantee in your present place of work, we go ahead and consider you for loan. 

Page Financials Looks at The Whole Picture

When you apply for a personal loan with Page Financials, we take into consideration all the factors that determine a well-qualified borrower.

Whether you have a good credit, high or low income, credit history or a first-time borrower, our job is to ask, "is this person in a position to pay back this loan?"

Once we get a yes from our AI and other minimal human checks, we go ahead and disburse.

Apply online at www.pagefinancials.com/loans.html or give us a call at 016317243. You can also send an email at customer@pagefinancials.com

If you get approved, disbursement happens in less than 3 hours.