It might come as a huge surprise to you at first, but the reality is that banks treat individuals who fall in the same income bracket and have similar credit histories in a different manner. This is despite the fact that you apply for the same type of loan in Pretoria from the very same bank. It is definitely quite mind boggling that this can be possible. It is important that you understand the various details that a bank looks into before approving a loan application.
Banks consider each individual case differently depending upon the person's own personal circumstances.
It is recommended that you use the assistance of specialized websites that help you check whether you stand a chance of getting your loan approved.
This would prevent disappointment after all the hard work associated with making the application.
Age is an important factor that all banks look into. Your age can actually determine whether your loan application would get approved or rejected. Banks know that younger people are financially unstable since they have just started working. They might not have much money that would enable them to pay their loans within the stipulated period of time. On the other hand, older people are preferred by banks since they are financially more stable and would have accumulated savings. This would enable them to meet their obligations within the due date.
Whether a person is married or has a family is another factor that banks might take into consideration. For example, some banks might consider marriage to be a sign of financial stability, while others would consider it to be an additional burden on the person's financial resources. The more children you have, the more costs you will have to incur. Thus, you would be left with less money at the end of the day to meet your obligations as a borrower. Banks are permitted under the law to calculate your average expenditures with relation to the number of children that you have. Most of them prefer families with fewer kids since they are considered to be more stable.
Your income and the job you do are two obvious factors that lenders consider. The more stable your job is and the higher your income is, the better your chances of getting home loans in Pretoria are. The value of the house you are purchasing and the locality it is situated in is also a matter of concern for banks.