Familymoney, an online family magazine, released a new article yesterday revealing the real reasons lenders decline online loan applications. The guide unveils that rejected loan applications often have little to do with credit scores and more to do with small technicalities that only those who work in the industry are aware of. The guide also shares how borrowers can easily avoid these traps.
Family Money performed an in-depth analysis of 14 million loan applications and found 69% of declined applications were due to technicalities unrelated to applicants’ credit scores.
This Family Money guide exposes the main reasons lenders refuse applications. For those with a good credit score, getting refused for credit is somewhat confusing. The guide gives them detailed answers of why their loan application may have been declined and specifies the small ways they can avoid this in the future.
Thomas Henderson, a top blogger for Family Money, remarked:
“Borrowers deserve to know the truth. We are excited to share this guide and make the lending industry more transparent for people who are desperately in need of getting approved for a loan. We believe in giving people the facts so that when they apply again with a good credit score, they won’t be declined.”