February 2018 - First 4 Commercial

How to avoid your Personal Loan application being rejected

Ultimately, there’s no way of knowing whether or not your personal loan application will be accepted until your lender tells you, but there are some simple fixes for your application that could prevent it from being rejected.

First of all, if you have a history of bad credit, you’re more likely to be rejected for a personal loan. However, while bad credit is usually pooled together as a group, there are various levels, and several years of your history will be viewable. Similarly, if you can’t prove that you have sufficient income, a lender will not approve your application, because they’ll be able to calculate that you can’t afford the repayments.

Having an unstable employment history can also have an affect on your application. Like a job interview, you need to be able to properly explain any gaps in your employment history, or fill them in, if possible. You need to show that you have a stable job, and therefore, stable income. You should also ensure that all of your details on your application are correct; if something is deemed incorrect, your application won’t be looked at further.

Your application also won’t be considered if you’re currently holding too many other loans, or if the purpose of your loan is doubted. You should doublecheck that it is a personal loan that would be best for the purposes you need financial aid, rather than any of the other types of loans that are available on the financial market from various lenders.


The advantages of Bridging Finance

There are several advantages to bridging finance that you wouldn’t get with other loan types. Bridging finance, or bridging loans, are perfect if you require a short-term loan to tide you over in unexpected circumstances, they’re quickly arranged, and the lending criteria is very flexible. All types of property can be used as security in bridging finance applications, including property that is in poor repair, and non-standard property construction. If one of your properties doesn’t cover the security deposit, you can use multiple properties, instead.

When applying for bridging finance, you should be aware that you’ll be paying a higher rate of interest than you would for other loans. This is because bridging finance can be seen as a riskier kind of financing solutions to a lender, and there aren’t many lenders in the financial market willing to supply the finances for a bridging loan.

Bridging finance can be used for a range of needs, including home renovation, refurbishment, and personal needs. Like its namesake, bridging finance is supposed to be used as a bridge between points of financial security. Unexpected costs, like sudden damage to your property, or appliance breakdowns, would be the perfect time to take out a bridging loan.

Repayment for bridging finance is flexible, as long as you repay the full loan, plus interest, within the set amount of months (usually 12 months), you can pay in instalments, or back in back in full anytime within the designated time period given by your bridging loan provider.


Tips and Tricks for taking out a Loan

Borrowing from a loan provider can be a little distressing, but with this quick guide of handy tips and tricks, hopefully you’ll feel more at ease when you start your first application.

Make sure you spend time shopping around for the best loan for you. Not just loan price or provider, but also interest rates, borrowing periods, and applicant requirements. You don’t want to waste your time applying for a loan that you’re not eligible for, and you should always read up on the various types of loans that are available on the financial market, to ensure that you’re choosing the right one.

Check the repayment amount, and make sure that you’ll be financially stable enough to repay the loan when the time comes. Never borrow more than you can afford. Keep a record of your expenditures per month and add in the costs of the loan repayment. This will help you keep track of your monthly outgoings, and keep you from accidently spending more than you have while you’re paying back your loan.

Try not to use a new loan to pay off an existing debt. This is an endless cycle, and if you’re not in a stable financial situation, then you’ll end up trapping yourself with a mass of loans and debts that you’ll struggle to pay back. In addition, don’t borrow from loan sharks; always stick with a reputable financial provider, like a bank, or a well-known loan website with good and visible customer reviews.


Tips to remember when considering a Commercial Mortgage

Before you begin your search for a commercial mortgage, there are a few things you should consider. Commercial mortgages usually last for 15 years or more, and are beneficial for business owners looking to buy a new property.

Although the high street, especially banks are the logical choice for a mortgage, you might consider looking for other financial providers to assist you with your commercial mortgage. You should be able to easily find a specialist commercial mortgage broker who can search the market for you, to find you the best possible deals.

Before you start your application for a mortgage, remember to check your credit rating (or credit score), depending on the rating you have, getting a mortgage may be easy, or it could potentially be very difficult. Some lenders may still accept applicants with a bad credit history, though a good history will give you more choices, and better deals. The more of your own money you’re willing to invest, the more chance you have of securing a competitive mortgage from a financial provider. You should also consider other costs associated with your commercial mortgage, including arrangement fees, valuation fees, and legal fees.

Remember to have your business records to hand, you’ll need them to prove the legibility of your business, and to show your potential lender that you are reliable, and that you will be able to afford the repayments towards the commercial mortgage once needed. You should be able to demonstrate that you can afford the loan.

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