Why a lender refuses a quick payday loan

Nowadays, people apply for fast payday loans for a variety of reasons. Most often, this is due to sudden unplanned expenses, such as urgent car or home repairs, new home appliances, medical services, or other major purchases. Of course, fast credit can also be useful if you have very little to pay or if you have to pay more urgent bills.

There can be many reasons. However, while applying for this loan on the Internet is very simple, there may be times when the lender refuses to grant the requested amount. Malborn the little has summarized the top reasons why you may be denied fast credit so that you are aware of the possible reasons.

Negative credit history

money cash

Credit history is the aspect that every lender takes into consideration when evaluating your application for instant or any other type of loan. We have heard this word many and many times in recent years, but not everyone knows what it really means. Credit history is a statement of financial obligations that includes a person’s credit obligations, both those that were in the past and those that are still active. It also shows how accurately the terms of these commitments are met, namely the absence of overdue credit payments. Another important aspect that many forget is that credit history is influenced not only by various loans and repayments / defaults, but also by the payment of various other services, including timely payment of mobile phone or utility bills.

In case of late payments, this is reflected in your credit history and there is also a risk of entry in the debtors’ register. Unfortunately, such records are kept for quite some time (at least 10 years), so lenders can look at your credit history and draw conclusions about your solvency. Although debt repayment can improve the situation, it will not automatically erase the record of the liabilities over a given period. It should be noted that the conditions and procedures for granting credit to each lender may vary, but in most cases, those with a negative credit history are denied loans. It should also be noted that each lender has its own database of debtors as well as those who have breached their contractual obligations, and in addition a common database is used which allows a more comprehensive assessment of the individual’s eligibility for the loan.

Missing information

As in any other area, accuracy is of paramount importance in financial transactions, and not only the company or institution with which we work, but also ourselves. When applying for a Quick Credit with Malborn the little, you will need to provide information about yourself, including name, surname, personal identification number, mobile phone, email, job, position, monthly income and expenses, and declared address. When the lender receives your applications, credit specialists verify the information you have provided and contact you if necessary to correct any inaccuracies. However, if you provide incorrect contact information, for example, it is very likely that the credit will not be granted because the application will be considered invalid. So always double-check your information before sending it.

You have not repaid your previous loan

money cash

This, too, is one of the terms that is specific to different lenders, but be aware that a lender may refuse to grant a quick payday loan precisely because you already have an active loan obligation or a loan with a particular lender. Before applying for your next loan, make sure you fully repay the previous one.

Inappropriate age for credit

This is a very popular reason that lenders cite in refusals because the applicant was either too young or too old. Malborn the little lends loans to clients between the ages of 20 and 70, which means that unfortunately people outside this age group will not be able to obtain a quick payday loan.

You do not have an active personal bank account

You do not have an active personal bank account

Nowadays, you need an active account with any bank in Latvia to receive loans, which means that you cannot use, for example, a bank account of a wife, husband, friend, brother or mother, because you must own it. Such conditions are in place to prevent fraud and to facilitate and secure online payments. Also, make sure you have an active mobile phone number with a Latvian operator and an email address that you can use to receive messages from Malborn the little.

Absence of workplace

This is also a common reason why people tend to refuse a quick payday loan or other loan. As we have already mentioned, you will need to indicate your workplace when filling out the Malborn the little application form, as it is also important for us to be aware that you have one to qualify for a loan. The fact that a person does not have a job also most often indicates that he or she does not have enough income to get a loan, as fast credit is granted for up to 30 days, so you should critically assess your ability to repay the loan within that time. Attention should also be paid to ensuring that income is official.

Leave a Reply

Your email address will not be published. Required fields are marked *