Irrespective of funding source you are
planning to use, you will need to meet specific criteria that are set by the
lending companies. If you fail to meet these requirements, you risk outright
rejection. Here, we bring you some essential elements to fulfill while applying
for business loans in Adelaide.
Salary or Monthly Income
Many lenders look for payroll or monthly
income proof before considering a loan
application. In many cases, the pay stub from the employer also
suffices requirements. Other lenders may ask for evidence for other income
sources like Social security checks, disability benefits, pension payments,
etc. The amount must meet the set threshold for lending purpose.
Bank Account
Another requirement that you, as a borrower,
need to meet has a bank account. Lenders usually directly deposit money in the
mind of the borrower. Later, the lender automatically removes the monthly
payment from the borrower’s account. It helps in streamlining the entire
process and help the lender save a lot of money. It is also essential to share
bank account of the borrower with the lender to show that he has met the
requirements of a bank to have a valid account. It also gives a clear indication
of the borrower has done nothing to get the account shuttered.
Identification and Age Proof
Proper ID and age proof is also one of the
requirements that borrowers need to fulfill when applying for a loan. This is
to prove that when borrowing a loan, you are 18 years and above in age and
reside at the address that has been mentioned in the loan application. This
requirement is very strictly adhered to as lenders wish to avoid any instance
of identity fraud committed by a person. It is for this reason; they ask for ID
to check the status of residence because lenders need to ensure the borrower is
a US Citizen or residing in the country legally.
Credit History
Another requirement that is mandatory to be
adhered to is the credit history or score of the borrower. Ideally, it must be
more than 500. If the credit history is bad, getting a loan may be difficult.
When applying for a loan, ensure meeting these
requirements put forward by a lender.
