News
11-4-2007
Quick online decisions fuelling loan rejections
Around one in three personal loans can now be approved with a quick online decision. An independent financial comparison website believes this may be fuelling the number of applications that are ultimately rejected, as applicants rely on online forms without either checking their credit status or speaking to an advisor.
And recent anaylsis by researches shows that around 1.39 million people have had loan applications rejected in the last six months, equating to around 320 applications being turned down every hour.
Around 31 of the 89 possible loans on the market are available with an online decision. Researches warn that while money can be borrowed in a matter of minutes, lenders can also reject applications just as quickly, something which could affect applicants' credit rating.
"Loan providers are getting tough so applicants shouldn't assume that, just because the loan is available online, acceptance is automatic. The same rigorous rules apply however you request credit and if you're rejected too often it'll be your credit rating that suffers."
Around 80 per cent of loans are now available through an initial internet enquiry, with little to choose between average rates across all application methods.
Logbook Loans can provide simple and fast loans providing an applicant owns their own vehicle that is clear of oustanding finance. Logbook Loans can also pay out their loans within 24 hours, which is great news for those people who are short of time.
And recent anaylsis by researches shows that around 1.39 million people have had loan applications rejected in the last six months, equating to around 320 applications being turned down every hour.
Around 31 of the 89 possible loans on the market are available with an online decision. Researches warn that while money can be borrowed in a matter of minutes, lenders can also reject applications just as quickly, something which could affect applicants' credit rating.
"Loan providers are getting tough so applicants shouldn't assume that, just because the loan is available online, acceptance is automatic. The same rigorous rules apply however you request credit and if you're rejected too often it'll be your credit rating that suffers."
Around 80 per cent of loans are now available through an initial internet enquiry, with little to choose between average rates across all application methods.
Logbook Loans can provide simple and fast loans providing an applicant owns their own vehicle that is clear of oustanding finance. Logbook Loans can also pay out their loans within 24 hours, which is great news for those people who are short of time.