In the last post we looked at Credit Score as the aspect of character most lenders look at first when a finance application is submitted. 

Therefore, to round the topic off, in this post we’ll look at the broader aspects of Character and the different things lenders take into consideration when making their decision on whether or not to approve your application for finance in relation to Character.

CHARACTER

Lenders don’t lend money to inanimate objects or corporate entities, even if this is the ‘applicant’ on the application; lenders lend to people, whether they’re employees, business owners or company directors. 

A lender wants to know more about the people, the owner(s) and the director(s) than just the financial numbers. 

A lender views you much the same way as you’d view someone you were thinking of lending money to, you want to be pretty certain that they’re going to pay that money back.

Lenders are the same; the bottom line is, just like you, they want to make sure as far as they possibly can that the money is going to be repaid and, in their case, generate a return on their investment, preferably with no fuss.

WHAT’S IMPORTANT

So, just what are lenders looking for when they’re evaluating character? For the main part, they’re looking for stability over a number of areas, things like, how long you’ve:

• Lived at your current address.

• Been in your current position position of employment. 

• Been in your current industry.

• Been a business owner/director or manager, if this applies to you.

• Have you got a good record of paying your bills on time and in full?

Lenders do understand that life happens, so depending on what’s happened, how you’ve handled the ‘what’ and how that’s been presented to the lender will impact the outcome.

YOUR ONLINE PRESENCE

These days most lenders will Google you, and if you’re self-employed, they’ll Google your company and at the very least, your business address and possibly even your home address. This can include Facebook, Instagram, LinkedIn and all the other social and business media platforms.

It’s becoming increasingly more important to really manage your online presence, particularly if you’re self-employed and there are companies that have developed software to assist in managing online comments. 

In relation to adverse comments, sometimes, it’s not so much about the comment itself, but more about how many and how it’s dealt with. Most lenders have enough experience to realise that no-one can please all the people all of the time.

So, now’s the time to get yourself in order, Review yourself, your resume, Google yourself and your business if you have one and see how you show up both offline and online and mitigate any anomalies.

For an objective view on how to package you and/ or your business finance application Make a Time to Chat with Leanne.