How to Avoid Rejection of Application for Home Loan in Noida
Getting a Home loan in Noida was quite easy till Reserve Bank of India (RBI) announced a series of monetary standards that constricted the norms for home loans. Banks and lenders used to attract maximum borrowers with lenient eligibility criteria, attractive schemes and competing interest rates. Now finance institutions are restrained from selling teaser loans, and are suggested to follow the mandatory guidelines while approving home loan applications. So in this blog, we will discuss the reasons of loan application rejection and how to ensure that your application doesn’t get rejected.
Reasons for rejection of your application for Home Loan in Noida:
Considering the new norms of loan application approval, there may be several reasons for the rejection of your application. Here we will discuss the most basic areas where an applicant cannot afford to make a mistake.
- Personal profile – One should never take this for granted especially when you are filling up a loan application. Single mistake can lead to the rejection, so better will be to pay proper attention while providing your personal information. This information is later verified by the loan provider, and any incomplete or incorrect data will get you nothing but rejection.
- Bad Credit History – You credit rating and credit history makes huge impact on lender’s decision. A bad credit history will always put you on the bad side. This is one of the most common reasons why loan applications are rejected.
- Property verification – Sometimes papers are not enough to make the lender believe that the property you are putting as collateral has as much value as the lender expects. In that case, lender goes for the property verification to check the exact value of property and to ensure that the property is not disputed.
How to avoid the rejection?
- From mentioning your occupation to declaring the collateral, everything should be done carefully.
- Read more to know better. Read the eligibility criteria carefully and follow the given instruction. Do not assume anything on your own. In case of any kind of confusion, get in touch with the agent or the broker.
- Do your paperwork to ensure smooth and successful verification process. Keep detailed financial statements and proof of income and expenditure. These are all very small things that put huge influence when applying for a home loan.
- A good credit history is certainly the key to loan approval. Your credit history reflects how good you’ve been at paying your debts, and installments. Therefore, for positive outcomes it is imperative to maintain a good credit history.
Now when you know the most basic causes and preventions of rejection, I hope getting a home loan in Noida will be much easier for you. Key is to pay attention to each and every aspect of loan application whether it is about your personal information or about your credit history.