Personal loans follow the same application process as any other loan does.
Just like a job seeker, a prospective borrower does his best to convince the lender he is worthy of his money. The loan application form stands as your resume, and the merits that you submit are your portfolio. Then the most feared part – the interview.
So the question is: are you prepared for your loan interview session?
Personal conversation involving you and the lender, either physically or on the phone, is always prioritized. A conversation where the lender gets to meet you in person and validates your qualification for the loan as well as your portfolio.
Especially if you’re applying for a business loan, this step is a necessary background check where your creditworthiness is examined. Trust me, lenders take this very seriously.
In this interview session, you may even be asked to complete a credit investigation questionnaire.
Now, different questions will begin to come at you as an arrow does at the battlefield. So, before attending your credit interview, prepare yourself for as many questions that the lender may ask as possible.
If need be, write down those questions and rehearse your answers to them with a friend. It is better to be over-prepared than to be caught unaware, you know?
Personal Loan Questions to Expect in a Credit Investigation and Questionnaire
Here are some personal loan questions a lender usually asks that you should prepare to answer.
- Can You Confirm Your Personal Information?
The first question that a lender asks in credit investigation questionnaires or in interviews has to do with your identity. The lender wants to confirm that the credit information filled in your application tallies with who you are really.
Loan applicants are usually asked to confirm their supplied information which includes:
- Complete name
- Birthdate
- Address
- Landline/mobile number
- Email address
This part is easy and fast.
2. What is Your Job and How Much Do You Make?
The next question a lender asks is regarding your job. A lender is interested in knowing your job and how much you make to confirm again if you’re qualified for the loan and whether you’ll be able to repay.
Your employment history is very important to the lender, such as where you work, position, and earnings.
On your part, you want to endeavor to convince the lender that you have a stable income source and that repayment of the loan won’t be a problem if granted.
The lender may further request for a certification that helps to confirm that you work where you claim you work and to see how long you have worked with your employer.
Mikka Montero, financial journalist from the Philippines, notes that it is rare to find a lender who believes you can pay if you have no source of income. If you are unemployed, they may give you a loan, but the terms will not be favorable.
3. How Will You Use The Loan?
This question is usually asked on the application form. However, it may also appear in the investigation questionnaire.
In the application form, there is a list of questions and checkboxes in front of them. You tick a reason for applying for the loan that matches why you’re applying for the loan.
But in the interview, you’ll be asked deeper details as to why you need the loan. So you’ll provide further details while it must tally with what you filled in your applications too.
Ensure you provide a genuine reason for obtaining the loan as your loan may end up being rejected
Tips on Answering Personal Loan Application Questions
Questionnaires and interview sessions may prove difficult and tiresome. So to help reduce the stress and make the process smoother, here are some useful tips
- Review Your Application Details
Having filled your application forms and questionnaire, ensure you reread them and confirm that they tally. This is very important because any inconsistencies will meet you with a lot of stress and doubts about yourself.
- Don’t Over-explain Yourself
When you answer the questions asked by your lender, do not over-expand or add unnecessary details which are not requested for.
Final Thoughts
Lenders will require you to answer questions to determine your creditworthiness and be more prepared for it.
Think through the whole process and get yourself prepared from all angles the lender or lenders documents may come to you.
