A loan application is an inseparable element needed when applying for a bank, cash or consolidation loan. It is in the application that we declare all the data from our documents about the employer or the ownership status. On what print should we complete the data, the bank or credit broker informs us.
The difference is that the broker always helps to complete the application wisely, the bank no longer necessarily, rather expects the client to answer the questions asked. The length of the application is not a rule, some banks have unilateral applications, in others they reach up to 10 pages.
Components of a bank loan application
Most applications consist of several elements. The first will be personal data, such as data from ID, parents’ names, place of birth or Pesel number. The next category is the so-called scoring. In them, the bank will require you to declare our possessions, whether we have an apartment or a car, what savings we have at our disposal.
There will also be questions about marital status and the number of dependents. Another element of the application is the one related to the employer. So a declaration of what we receive net or gross income (depending on the bank from the last 3 or 6 months). Since when we work and for how long, what is the form of our contract and job position. The last element is usually the consent of the spousefor the loan or the guarantor’s details. Clauses related to the scope of information processing are also attached to the applications.
Verification of entries in the loan application
Does the bank verify all the information we provide in the loan application? There is no rule, as long as the bank certainly checks in BIK to what extent the loans we provide correspond to the current state, it is not able to verify every information. If the customer declares higher education, 2 dependents, a car, being in a free relationship and having bank deposits for USD 20,000, the bank is not able to check everything. Because as for a loan, eg for USD 15,000, the bank will require a diploma of graduation, presentation of a registration certificate, certificate of being in a free relationship (there is no such document, but a certificate from a partner or partner), additionally documenting having savings and 2 people dependent.
The bureaucracy would exceed the purpose of granting credit. Nobody would provide so much information for the bank and it would not be profitable for the bank to proceed. Part of the information in the application is accepted by the bank on the statement. However, this does not change the law, which clearly states that a false statement may be punishable by law.
Application processing and consideration
After completing the bank loan application, the bank will proceed to its analysis. Transferring the application records to the banking system will allow you to calculate in detail the customer’s creditworthiness, credit risk and its scoring. On this basis, the bank will decide what amount it can provide and what documents will be needed for it. The time taken to process and analyze the application varies greatly. Depending on the bank and the loan amount, it can last from 15 minutes to even 5 business days.