Do You Need Extra Funds? Here Are The Basics Of Getting Approval For Loans In The Philippines
As people take on more responsibilities in life, they discover that there are times when the amount they earn does not allow them to embark on their dream projects or jumpstart a business. For cases like these, financial institutions can help them get extra funds from loans in the Philippines.
The Basic Requirements For Approval Of Loans In The Philippines
In order to apply for a loan, money-lending firms in the Philippines require of the borrower to comply with the basic requirements. Foremost, the person must be between 21 and 60 years of age. He or she must be a Filipino citizen. The borrower must be able to provide legitimate contact numbers, preferably landline numbers. In case the borrower is more than 60 years old at the time of the loan, he or she must present a special power of attorney in order to qualify for loans in the Philippines.
Also, most borrowers are required to present some proof of steady income. Usually, loans will only be granted to people who are employed and are considered “regular” employees in their place of work or those who are receiving pension benefits.
The Role Of A Co-Maker In Getting Approval Of Loans In The Philippines
In addition to the basic requirements, most lending institutions also require the borrower to have a co-maker. A co-maker, in money-lending parlance, is a person other than the one applying for a loan who assumes equal liability for the amount loaned by the borrower. Most loan types would only be granted if the borrower has a co-maker.
The co-maker, like the borrower, must present proof of stable income and must also provide landline contact numbers.
Steps For Approval Of Loans In The Philippines
There are also other requirements to qualify for loans in the Philippines, and these vary from one financial institution to the next. However, the process for approval of the loan is basically similar.
First, the person who applies for a loan submits all the required documents of the particular loan for which he or she is applying. The lending firm will then conduct a background check of the applicant’s credit records and ability to repay the amount borrowed plus any corresponding interest.
The background investigation for approval of loans in the Philippines might entail having a representative from the firm go to the borrower’s place of work and/or residence (usually by appointment and with the supposed borrower’s permission) to interview key people associated with the borrower. The interviews are done in order to get a profile of the person’s character. The information from the credit investigation will then be submitted to the lending firm officers for review. When everything is in order and the credit investigation is satisfactory, the loan is then approved.