The process of getting a loan or having your credit approved for the important and essential things in life can be stressful and sometimes disappointing. You may not realize you have credit challenges or credit problems until you try to secure a loan for a new car, refinance your mortgage or to just try to make your life a little bit more comfortable. Our job at Pinnacle Credit is to improve your credit rating and prepare you for the credit approval process. Not only will we help you take the proper steps to secure a loan, we’ll help you find the kind of loan that is best for you at the best possible rates.
The credit approval process typically consists of three steps:
- Collecting the necessary information about the applicant and loan desired
- Evaluating the information
- Deciding the credit worthiness of the applicant and whether or not to grant the loan
The first step is for the lender to gather up the pertinent information they need (via a credit application and in certain cases, an interview) to assess your current credit status, credit history, and your particulars such as name and address, social security number, name and address of your employer and income. At this stage, the lender will also ask you about the purpose of the loan and how you intend to pay back the loan. Different types of loans are discussed and a loan type is chosen based on your needs (and the risk to the lender). Because we have helped you identify the best type of loan for you, and made sure your credit is in good shape, you’ll be able to make financially-wise decisions when choosing a loan.
For those loans that are not granted or denied on the spot, step two is the “Give us a couple days and we’ll let you know” stage. During this time, the lender evaluates the information that was given (including the information on the credit application and questions asked and answered during the interview) and creates a credit profile for you. Your current credit score is not the only factor that determines whether or not you are extended credit or approved for loan. Factors like income, residence, employment and references also enter into the process. Pinnacle Credit will educate you about how this process works so you know exactly what to expect and thus, eliminate your anxiety during this waiting period. Plus, you’ll already have a number of options so you can choose a different creditor if you don’t find the terms of your loan to your liking.
The final step is deciding on your credit worthiness including the risk factors involved and a further review of your current credit reports and scores. This final decision can be based simply on the information at hand (and the resources of the one lending the money) or on a complex algorithm developed by a large bank or financial institution.
It is in this final stage where many people find out (unfortunately) that their credit is not what they expected and there are problems that need to be quickly resolved. We can help you resolve the problems with your credit quickly and accurately so you are better prepared for securing the funds you need. And Pinnacle Credit can also help you identify the loan that is right for you, saving you a considerable amount of money over the long term.