The image of loan companies has changed in favor over the past years. The cost of granted non-bank loans decreased, many attractive promotions were introduced (e.g. free payday loans) and under the flag of the us Association of Loan Institutions, responsible borrowing and not twisting the spiral of debt began to be promoted.
Despite this, there are still voices that all loans are available immediately, and those who have met with a negative decision are greatly outraged. Is there therefore a perfect borrower profile – one that will never be refused.
The ideal borrower – does it really exist?
One might wonder if it is possible to determine at all the type of customer that no loan company will refuse. Of course, there are certain social, age and professional groups that have the best chances of getting a loan and perfectly fit into the profile preferred by non-bank institutions.
However, the multitude of offers and their diversity has been conceived to cover practically the whole of society without a problem and offer loans to as many groups as possible. Exorbitant loan conditions are not profitable either for a loan company – because hardly anyone decides to go there, or for a customer – because in this case he will go to the bank, where he can count on lower costs.
However, you can try to simulate and identify features that increase the chance of a loan. There are various reasons for this, but it mainly leads to one common denominator: stability. The ideal borrower will therefore look like this:
- Age 25-60 years old. In short, it is the middle and productive age. The one in which professional and financial stability is achieved, a family is assumed. This limits the maneuver of such a person and it can be expected that he will be reluctant to change his place of residence or work (if anything, a better paid one, which is a plus). In addition, this is the age at which most of the population is already working and will work until retirement.
- Married, living in her own apartment. Being married increases the chances of getting a loan in such a way that the household budget also increases by the income earned by the spouse. Similarly, the issue of housing: rent can be charged to your monthly budget. In addition, as before, both criteria lead to the aforementioned stabilization.
- Possessing permanent employment and decent income. We are not talking here about high incomes, so-called ‘directors’, because the loans are mainly targeted at people who need extra cash. Otherwise there would be no point in contacting a loan company. Of course, regular income is more important; employment under employment contract will be rewarded.
- Having a good credit history. The ideal lender should pay in installments, take out loans and pay them back regularly.
All work is good – loans that fill the market gap
Although employment based on a contract of employment is indeed desirable, non-bank companies rather than on how to receive income, pay attention to the fact that this income is simply there and inflows relatively regularly. It will not matter if you work on a commission contract or a work contract.
You can also run a business (check what conditions you must meet in the article “Single-person business – chances for a loan and loan”) or agricultural activity. In a few words – non-bank institutions accept virtually any income, as long as it comes from a legal source (see: “What income can I take out a loan for?”)
According to market laws, if there is a niche, it must be filled as soon as possible. This also happened in the case of loans that a person without adequate creditworthiness and credibility would like to apply for.
It is with them in mind that loan companies have taken some risks and created the so-called loans without BIK (art. “Loans without BIK. What determines creditworthiness?”) and even loans for those in debt (check what conditions you must meet).