Why Georgia Consumers Looking for Loan Approval Should be Ready for Lenders to Judge More than their Credit Scores

Georgia consumers looking for loan approval should be ready for lenders to judge more than their credit scores. So, make sure that you’re prepared.

Georgia consumers looking for loan approval should, ideally, have good credit scores and positive credit histories. However, very few loan applicants in Georgia have absolutely perfect credit reports and scores. Most of the time, minor blemishes on your credit history won’t destroy your chances at loan approval. Yet, if you have additional factors working against you on top of an imperfect credit score, you could walk away empty-handed. For example, if your behavior and credit files indicate that you are stressed out about money, a potential lender may see you as a loan risk. So, before filling out a loan application in Georgia, take a deep breath and relax. More importantly, don’t do anything that might make a lender think that you are at your wit’s end with your finances.

Behaviors that Might Prevent Georgia Lenders from Granting Loan Approval

A big part of a lender’s job is to assess risk factors in prospective borrowers. They need to know that Georgia loan applicants have the means and desire to pay back the loans extended to them. This is why signs of financial distress are perceived by lenders as red flags. After all, if you need a loan because you’re desperate for money, timely repayment seems uncertain.

Here are a few things you should avoid doing right before applying for a loan in Georgia.

Maxing Out Your Credit Cards:

Lenders don’t like to see this anyway, so you should definitely avoid racking up large credit card balances right before submitting your loan application. Using more than 30% of your available credit – and especially maxing out your credit cards – makes you look financially unstable.

Opening Several New Credit Cards:

You may have a good reason for doing this, but it may be difficult to convince a lender that your judgement is sound. Suddenly opening two, three, or more credit cards makes you seem desperate for credit. Which is, of course, not a good message to convey when seeking loan approval.

Draining Your Bank Account:

Spending all of your money right before asking to borrow more is a very poor choice in the eyes of most Georgia lenders. Again, lenders judge you based on your perceived ability to repay a loan. Therefore, showing up with barely anything in your checking or savings account typically won’t give any lender a good feeling about you.

Getting Behind on Bills:

One thing that can give you at least a small advantage when applying for a loan is Georgia is to get current with all of your bills. Not only will late payments hurt your credit score, but lenders will shy away from any applicant with a recent history of delinquent payments.

Clearly, you need the loan. Otherwise, you wouldn’t apply for one. However, you should show the lender that, while you require funding for some type of purchase, you can still easily afford to pay it off. It is also a good idea to not disclose any recent upheavals in your life before requesting loan approval. For example, don’t lead a face-to-face conversation with “I just broke up with my boyfriend” or, “my new supervisor dislikes me, and I’m worried about my job.” In addition to any other application prep work you do, make sure to check your credit reports before actively seeking a loan of any kind.

Why Georgia Consumers Looking for Loan Approval Should Check their Credit Reports Before Filling Out an Application

Georgia consumers planning loan applications should know exactly where they stand with their credit reports and credit scores. Specifically, you should know your credit score and the contents of your credit reports. Then, you can more accurately predict your approval odds and interest rate. By checking your credit reports, you can also find and remove inaccuracies that can bring down your credit score.

Unfortunately, about 80% of Georgia credit reports are flawed in some way. This is because creditors and the credit reporting agencies frequently mishandle consumer information. Then, mistakes made by these organizations show up on credit reports as errors. If, while going over your credit reports from TransUnion, Experian, and Equifax, you find any of these errors, call Credit Repair Lawyers of America. When you contact our firm, an experienced credit attorney will go to work right away to get you clean credit reports for free.

The Free and Legal way to Get Better Credit

Don’t let errors on your credit reports bring your credit score down. At Credit Repair Lawyers of America, we’ve been cleaning up credit reports for consumers since 2008 for free. How do we do it? All of our fees come from the defendants in settled cases. This is why our clients pay nothing for the work we do.

Let’s start the conversation about what we can do for your credit. Set up your free consultation today by calling Attorney Gary Nitzkin at (404) 591-6680 or sending him a message through our contact page.

For more information about Free Credit Repair, please visit www.creditrepairlawyersam.com/credit-repair-free/.