There are many factors involved in assessing a borrower. Lenders typically consider a combination of reasons rather than relying on one single factor. Each lender has its own credit system — much like how you would evaluate multiple aspects before buying a house or car, such as location, amenities, and not just the price.
In general, a lender would look at the following key areas. Improvements in any of these over time may positively influence your chances:
Credit and repayment history
Cash flow history and projections for the business
Collateral available to secure the loan
Character (credit score, litigation status)
These factors can shift due to changes in the lender’s internal strategy, such as targeting a different borrower demographic or diversifying their exposure across industries. So sometimes, it’s not just about you but also about them. You may receive a different outcome by applying again later, or by trying another loan type, especially a secured one.
For a more detailed breakdown, check out our article on what affects your ability to get a loan or a better interest rate.
At FindTheLoan.com, we make it easy to try again or explore different options — all from one platform.
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