Whether American or European, applying for a loan can be a bit intimidating, especially if it’s your first time trying to obtain a loan.

If you want increase your chances of having your loan approved, there are some tips you can follow to give you the edge for getting your loan approved.


Research loans and be knowledgeable about the type of loan you are seeking

There are many types of loans available; each type of loan comes with its own terms and expectations. Careful research will help you decide which type of loan best fits your needs and limitations. The more knowledgeable you are about the loan-type you’re seeking, the more trust the loan officer will have in you and your understanding of loans in general. Being “loan savvy” will definitely be a check in your favor.

Prepare for your loan interview

Before you meet with a loan officer in person, speak to the loan department and gather as much information as you can on what you need to bring with you for your interview. Put together an organized folder of information containing everything they’ll need: bank statements, payroll stubs, driver’s license, social security card, copies of debts owed, etc. Whatever they require, have it well organized and ready to hand them. One thing that never impresses loan departments are those who are unorganized or ill-prepared to complete the application process. Un-organization will send a message that you are not serious about the loan, or your finances.

Make a good impression

Good, first impressions go a long way and being on time for your interview will certainly give the loan officer a good one of you. Applying for a loan can be classified similar to a job interview. Dress for the part – smart and conservative. Jeans, T-shirts and flip-flops should never be worn to an interview where you are trying to get someone to trust that you deserve a loan and are responsible enough to pay it back.

Be honest

It may be tempting to exaggerate your situation: such as fudging on your debt to income ratio, your credit scores, even old unpaid loans. Keep in mind banks and loan organizations have the ability to pull all the information they need in regards to your personal situation. You want to build their trust and you won’t do it by being dishonest. If you’re not honest during the interview, they’ll find it hard to trust you’ll be honest with repaying the loan.

Don’t act overzealous or push for an instant answer

Being overzealous comes across as desperate or needy. Be calm, cool, and collected when interviewing. You want to come across as you can take the deal or leave it. This attitude shows a sense of confidence and will give the loan officer a confidence in you as a good candidate. Leave the interview with a handshake and appreciation for his time. Don’t expect to get your answer immediately. Pushing for a quick answer or for his best guess to whether he thinks you qualify is not helpful, or realistic