When applying for a loan, the bank checks the creditworthiness of the customer to verify its reliability by consulting the databases in the Credit Information Systems, SIC, which contain all the information regarding the customer and his relations with the banks.
The 10 reasons why a loan may not be granted
- Income and asset situation: if the banking institution claims that the client’s income and economic situation are not sufficient to guarantee the repayment of the loan, it considers that the applicant’s income and his asset situation are not sufficient to guarantee the repayment of the debt. Usually, the loan installment should not exceed one third of the monthly income;
- Precarious employment situation or fixed-term contract at maturity: the conditions that demonstrate the ability to repay the debt are lacking;
- Bad payers: if you have been reported as bad payers in the SIC lists for delaying the payment of at least two installments of loans obtained previously;
- Protested: if from the checks in the lists of the risk centers (the SIC) you are protested even if you have not paid a bill of exchange on expiry;
- Multiple financing: the bank can refuse the loan to avoid over-indebtedness of the customer;
- Multiple loan requests: if at the time of the application it appears that other loan requests have been made to multiple credit or financial institutions;
- Refusal received in the previous 30 days: this information is kept in the SIC lists for 30 days. Before submitting a new application, it is advisable to wait until this information has been deleted from the databases;
- Guarantor of bad payers: in the event that, despite being good payers, the signature has been put in place as guarantor in favor of a loan made out to a third person who, however, has not paid the installments regularly;
- Unsuitable guarantor: presents a guarantor who turns out to be a bad payer or a protested person or who does not demonstrate that he has a financial position capable of honoring the debt in case of insolvency by the loan holder;
- Lack of information: if you have never asked for loans before and you are therefore unknown to the Sic database. It may happen that the loan is refused because the customer’s creditworthiness information is completely missing and the bank is unable to verify its reliability.
By law, the bank that refused the loan is obliged to inform the customer of the reasons for the refusal, in particular regarding any negative data present in the credit information systems databases.
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