One of the primary factors considered by lenders and creditors is your credit report. A careful examination and review of all of the information contained in the report will be made to determine your credit usage and payment history.
If the lender or creditor finds that the credit report contains several late payments or other negative factors—such as public record items, like a lien against your property or you have foreclosed on your previous home—your ability to secure loan approval will be severely hindered.
Furthermore, lenders and creditors will review the credit report to determine if you currently have “access” to too much credit. In other words, how many lines of credit or accounts are “open” and available to you? If, for example, you have several open accounts, even with a zero balance, you may be at risk of having the credit application questioned or denied because you could become overextended.
If the lender or creditor finds that the credit report contains several late payments or other negative factors—such as public record items, like a lien against your property or you have foreclosed on your previous home—your ability to secure loan approval will be severely hindered.
Furthermore, lenders and creditors will review the credit report to determine if you currently have “access” to too much credit. In other words, how many lines of credit or accounts are “open” and available to you? If, for example, you have several open accounts, even with a zero balance, you may be at risk of having the credit application questioned or denied because you could become overextended.
