Cs of CREDIT: HOW IS YOUR LOAN APPLICATION EVALUATED?

For 25 years, I  worked as a CREDIT EVALUATOR / UNDERWRITER for almost all types of loans - working capital loans, credit lines for corporate, middle market and small and medium enterprise accounts, project financing, remedial loans, home loans, auto loans, credit cards, and personal loans. Across all financial institutions I've worked for  (4 big names all of them in METRO MANILA) - the same principles apply:

As an evaluator, I grant loans/credit lines base on the following Cs of CREDIT:

1.  CHARACTER - integrity of the Borrower that he/she will pay you back.
2.  CAPACITY-TO-PAY - Cashflow or the source of repayment.
3.  COLLATERAL - the thing of value convertible to cash in case  borrower won't be able to pay.
4.  CAPITAL - the equity share of the Borrower in the project being financed.
5.  CONDITION - impediments to the loan application, ranging from market share, industry, age, health, and various other non-financial or financial factors
6.  COMPLIANCE - this is not found in any book yet.... documentary requirements and policy compliance.

So if you are planning to apply for a loan next time, make sure you will meet the above requisites  and for sure you will be granted a loan.  Always review your Cs of CREDIT before you even submit your loan application and pay the processing fees.

For your inquiries or questions, please feel free to post on-line. For those of you who have always been DISAPPROVED or DENIED a loan application and you feel you really need that loan badly - allow me to help you - send your queries to pinoyunderwriter@gmail.com or financialsolutions180@yahoo.com.ph  and state the subject LOAN INQUIRY in bold letters please - so I notice your email right away.

 PLEASE USE YOUR APPROVED CREDIT LINES/LOANS WISELY.