Bankruptcy Attorneys In My Area -1blogcacher.Com

Most consumers take out loans in the course of their lives, as does almost every company, be it to finance a larger purchase, to bridge an economic bottleneck or to settle other liabilities. However, before the bank approves a loan, various documents must be presented to check the borrower’s financial situation and thereby minimize the risk of default. First, every credit institution needs a fully completed application for a loan to be processed. A copy of the complete identity card must always be available to the credit institutions. In addition to the personal data of the applicant, such as name, contact details and corresponding professional information, this includes all figures about the monthly disposable income and the expenses that must be paid each month.

Why consumers take out a loan?

Why consumers take out a loan?

In addition, at least the last three wages or salary slips are regularly requested by the banks. The bank statements should also have the bank statements, the bank details on which the wage payments are received. A current bank account must of course also be available to the lender. If, for example, a property is to be financed with the loan, it is also necessary to submit the relevant papers. The same applies to the purchase of cars and other major purchases. If borrowers are not dependent, but belong to one of the independent professional groups or are self-employed, it is much more difficult for the bank to check the economic situation.

Therefore, in addition to the ones already mentioned, the requirements are much more extensive in this case, so current business accounting, the annual accounts of the past three years and the two latest notices on income tax must be submitted to the credit institution become. In addition, there are appropriate self-reports on the economic situation and, if possible, all documents relating to other bank details. It is best if the self-employed finally present a business plan that clarifies the future expected development. If investments are made with this loan, the business purpose must also be specified. The requirements are even more extensive if a company wants to take out a loan. It is therefore advisable to create a folder with the latest developments from the company.

Request a loan

Request a loan

There are only good chances of a loan being granted if the documents contain current business figures, are clearly and orderly structured and are continuously adapted to new circumstances. The same documents that credit institutions require from self-employed persons are also expected when a company requests a loan. In addition, there is financial and liquidity planning, existing order inquiries, inventories of goods and receivables and existing investment planning.

In addition, the extract from the commercial register, the shareholder contracts and the strategic and business orientation of the company must be presented. Finally, the organization of the company is relevant for the bank. The completeness of these documents is particularly important for commercial companies, because they are not only decisive for the approval or rejection of the request, but also for the amount of the interest charged on the loan.