<Contributed Article> If you are thinking of applying for a personal loan, you have to be very careful with how many applications you make. Making too many could affect your credit score negatively and reduce your chances of getting accepted in the future. So, you have to do everything in your power to be as eligible as possible as a candidate before you start applying and privilege lenders who will be favourable to your situation. Let’s take a look at a few things that could instantly boost your chances of getting your personal loan application approved.
Know What Your Credit Looks Like
The first thing you should do is get a copy of your credit report from either Experian, Equifax, or TransUnion. This is the only way to know if you have any outstanding accounts out there that you weren’t aware of. There could be mistakes on your report too, and they could be affecting your credit score, so you’ll have to check if you see any and have any mistakes corrected pronto.
If you’re slightly concerned about your credit situation and you want to maximise your chances of getting approved while limiting the number of applications you make, it could be a good idea to check out a service that will allow you to get access to a wide number of lenders at once.
Some services will allow you to choose loans Northern Ireland from a wide list of institutions, and they’ll match you with the lenders you have the greatest chance of being approved by. Not only can they help you access institutions that provide loans Northern Ireland, but they have access to lenders all over the UK, which will give you even more options to choose from.
If you don’t have much of a credit history, this will make getting a loan much more difficult, even if you’re fairly responsible financially. So, you will need to find a way to build your credit as soon as possible. The simplest way to do this is to get a secured loan or credit card. These will need to be backed by collateral, and since you’re almost guaranteed to get accepted, you won’t have to worry about a rejection affecting your score.
Not only is voting a civic duty, but it can also be a good way to improve your credit score. Experian explicitly stated that getting on the electoral register could boost your credit score by as much as 50 points. Take the steps to get registered right now if you aren’t already.
Going for a longer term on your loan will reduce your EMIs and will also increase the chance of you getting accepted. Lenders know that you’ll be more likely to repay it, and longer terms work in their favour too. Use this to your advantage and see if you could go for a longer loan tenure instead.
All of these things will allow you to boost your eligibility and instantly increase your chance of getting the loan you wanted. The more financially responsible you look, the greater the odds of getting financing now and in the future, so focus on keeping a good name first and foremost.
Title image courtesy of Photo by Joslyn Pickens.