Aloe vera and other salves and are recommended to relieve the pain of heat burns. But when you are burned by a loan application rejection, a permanent solution is in order. For both individuals and businesses that have had a loan application rejected there are options, solutions and recommendations to assist in achieving a positive outcome.
The reasons as to why the loan application has not been approved will determine how the situation should be approached. There will also be differences in the solutions available for consumer loans and business finance.
Some of the familiar reasons that a loan application is not approved include:-
- Credit issues
- Consumer finance guidelines not being met
- Lack of financial records
- Business operating history/term
- Business sector
- Specifics around the goods or equipment
- Finance structure requested
There are differing solutions and pathways forward to address each of these issues. As specialists in both consumer and business lending, Jade Finance can offer a range of solutions and work with customers to achieve a workable outcome.
Credit Rating Issues
For both individuals and businesses that have had loan applications rejected due to poor credit issues, the first step can be to address those issues. Get a free copy of your credit profile and see what errors or issues can be fixed.
For businesses we have access to lenders that are open to discussing Bad Credit Loans for equipment, trucks and motor vehicles. If approved, bad credit loans will typically attract higher interest rates and lenders may insert special terms or condition in the loan. But workable solutions are possible.
For individuals seeking loans with bad credit, the situation can be more complicated and challenging. Licensed Credit Providers such as Jade and banks and finance companies adhere to the regulations and guidelines around consumer finance as set out by ASIC. Limited options may be available to consumer loan applicants with poor credit under these rulings.
Other issues around not meeting consumer lending issues include where a loan is deemed unsuitable for the applicant. Applicants may look at reducing the debt levels to improve their personal financial situation or seeking a lower loan amount by purchasing less expensive goods.
Regardless of the issues, you are welcome to reach out to discuss your circumstances with Jade Finance.
Lack of Financial Records and Business Trading
For relatively new businesses and those in the process of setting up, one of the most common reasons for loan application rejection is insufficient paperwork or financial documents to fulfil the lender requirements. Our solution in these situations is Low Docs and No Docs Loans. We have a selection of non-bank lenders through which we can source workable finance for cars, business vehicles, trucks and business equipment through No Docs and Low Docs finance.
These types of loans do not necessarily attract higher interest rates but additional loan conditions such as extra security may be required.
Industry Sector and Machinery Specifics
While Jade Finance can source finance for pretty much all industries and all types of equipment, not all lenders are in that position. Individual lenders set their own lending markets and may choose not to lend to certain industry sectors or for acquisition of certain types of equipment.
This may be based on their own risk assessment of the sector, individual guidelines or preferences. If you’ve had a loan rejected on this basis, simply contact us for a quote.
Customised Loan Structure
Not all lenders are open to negotiating on terms and conditions and personalising the loan structure to meet the preferences of the applicant. That is where our services as a finance broker lender are sharply contrasted. Our approach is to take a very personal and individual perspective and source finance offers which are customised to suit the individual needs of that business.
Our consultants have the negotiating skills and expertise in finance structuring to assist with even the most complex finance deals.
Avoid the Burn – Prepare!
If you intend to apply for a loan or finance and you think you possibly may have difficulties in having the application approved, there is a way to prevent some of those issues. Speak with us about pre-approved loans. A pre-approved loan application is prepared and submitted based on an estimate of what the applicant thinks they may wish to spend on the goods required.
The application is processed through to approved stage prior to any commitment for a purchase being made. This provides the opportunity to fine-tune and make any necessary changes to the loan request such as in regard to the amount being requested.
Pre-approved loans also provide confidence by knowing exactly what priced goods one can proceed to purchase. Thus avoiding the massive disappointment when you find the boat or car you want, possibly put down a holding deposit, only to have your loan application rejected.
Having a loan application rejected doesn’t have to derail all your plans. Especially for business, Jade Finance has multiple pathways forward to secure workable and cost-effective finance solutions.
Contact Jade Finance 1300 000 008 to discuss options if you have had a loan application rejected
DISCLAIMER: NO LIABILITY IS ACCEPTED IF ERRORS OR MISREPRESENTATIONS ARE FOUND IN THIS ARTICLE. THE ARTICLE IS PREPARED AND PRESENTED FOR GENERAL INFORMATIVE PURPOSES AND IS NOT INTENDED TO BE THE SOLE SOURCE OF INFORMATION FOR MAKING FINANCIAL DECISIONS. THOSE REQUIRING GUIDANCE AND ADVICE SHOULD CONSULT A FINANCIAL ADVISOR.