5 reasons for a negative loan decision
One of the most common reasons for refusing a loan is low creditworthiness. This means that you have income that does not guarantee that you will pay back the amount you are applying for in a timely manner. The way out is to re-submit an application for a smaller amount or to extend the repayment period. Lack of documentation of a permanent source of income is directly connected with this reason for the negative decision issued by the lender.
Entries in the BIK databases
The second reason discrediting the borrower is the presence in the databases of economic information offices, i.e. in the National Debt Register (KRD), ERIF Register of Debtors and BIG InfoMonitor. You will get there if you are behind for more than 60 days with a repayment of at least PLN 200. To regain the status of a credible borrower, you must pay your debts.
Failure to meet the lender’s requirements
The third reason for refusal may be failure to meet the requirements of the loan company. Usually, this is because you are not within the mandatory age range. For example, NetCredit requires you to be at least 20 years old, but the prospect may not be more than 65 years old. The Kasa Express and Filarum puts 21 and 70 years apart, and Vivus requires 20 to 78 years of age. A loan company will not grant a loan to a foreigner, unless it also has Polish citizenship.
Incorrect completion of loan application
As the fourth factor in a negative loan decision, there is incorrect completion of an online application or incompatibility of personal data. For example, you apply for a loan on your behalf and you make a transfer with a verification fee from a shared personal account that your spouse is the formal owner of. In addition, an incorrectly completed application may prevent a consultant from contacting you to complete the application, etc.
Arrears on previous loans
The fifth reason why a company from the non-banking sector will not be willing to grant you a loan is the lack of repayment of previous obligations, payment of debts with delay or non-compliance with the period that must pass between one and the other loan. The above factors in refusing a loan decision relate to regular customers.