Today whether it is a middle-class person or Business class professional everyone someday or the other needs a loan. Getting a loan seems an easy job but many issues occur when you apply for a loan and Rejection of Your Loan Application.
The number of applicants is very high, but the applications selected are very few. Where on one hand the RBI shows an increase in bank credit of 21.4% between March 2007 and 2013, on the contrary, non-performing assets have tremendously increased, to Rs. 1, 64,000 crores between 2008 and 2013.
How to Prevent your Loan from Rejection – Apply Now to get the Experts Advice
This is a reason banks have started taking more precautions before lending a credit. If in case they find any loophole in the customer, his application will be immediately rejected. To apply again, the person needs to get a green chit from the authorities. Following are the points that would help you know the basic reasons why Rejection of Your Loan Application is there:
1. Are you in the habit of switching your job frequently?
Eligibility criteria for the loan may depend upon your job stability that could be of greater importance for a particular bank to lend. Some banks may even ask your job profile, duration of your job, and even your designation before granting your loan. Therefore, if you are a serial job switcher, your application might get rejected.
2. The size of your Business may even matter:
Being a salaried employee bank might be interested in knowing about the nature of the organization. Whether the organization is private or government, how old it is, and what is the future scope. If somewhere bank feels its future is unstable your application, may get rejected.
3. Is your location convenient to approach and not on the Defaulters list?
Banks conduct verification drives of the residential areas and the office address of the person before lending a loan. A location that the bank feels is not easy to reach or is in the area that has a bad record their application gets refused. Even if the applicant lives with a person with poor credit history the chances of rejection increase. The reason behind this is the address.
If your address matches the defaulter’s address, you will land up losing your application. In case, you have shifted to a new place, and you are not a registered candidate on the electoral list, you might face difficulty in getting a loan.
4. Do you have to fulfill too many prior commitments?
Income is not the only scale that will justify your eligibility for getting a loan. There are a hundred other things that you need to fulfill. If you are already repaying EMI’s, credit card bills, or insurance premiums apart from your household expenses that in total make more than fifty percent of your total salary you have a risk of being rejected.
Consider all these points before applying for a Loan otherwise you might also face the rejection. Dialabank is here to help you to find the best offer. Avail Doorstep Services and Experts Advice.