Mistakes are simply a part of life, we all make them. Some we can laugh about, some we learn from, and some hurt those around us. But they are called mistakes for a reason – they are not intended to cause harm. Good problem solvers can do damage control when they mess up; others if they’re lucky, catch the mistake before they make it and can be a problem preventer. Unfortunately, we aren’t always aware of the mistakes we’re making, particularly when it comes to financial mistakes or mistakes on a loan application.
As an experienced customer service agent with LoanConnect, I’ve been reviewing initial applications for well over four years now. In that time I have reviewed over half a million applications, and unfortunately mistakes are very common. A mistake on a loan application results in one of two things:
- The application is almost automatically denied by the lender because of that error, or;
- The mistake limits the number of lender options you’re presented with. This could mean you are missing out on better options, such as lower interest rates.
Between my communications with our lender partners, and the extensive applications I’ve reviewed, I can say that there are some best practices when applying. If you keep these in mind, it should give you the best chance of approval!
This blog series will examine the most common errors people make that often prevent them from getting approved; whether it be for the amount they need or at the interest rate they deserve. The hope is that by identifying the most common mistakes, I can help prevent you from making them. This will save you time and set you up for the best chance of success on your first application.
Financial Mistakes Blog Series
- Housing types and how they impact your application (own, rent, neither)
- Income amount & type (full-time, part-time, self-employed, retired, social assistance, unemployed, other sources of income)
- Application best practices. What to keep in mind when completing your application to prevent those possible mistakes from restricting your options
- Loan types and how to choose the best one for you
Hopefully I can help you move from problem solvers to problem preventers, and avoid loan application mistakes.