Should your finance application be declined:
- Ask for a Reason – Lenders are generally required to inform you why your application was declined. Knowing the reason can help you address the issue.
- Check Your Credit Report – Obtain a copy of your credit report to check for inaccuracies or areas you can improve.
- Improve Your Creditworthiness – Pay down existing debts to lower your debt-to-income ratio. Make payments on time to rebuild your credit history.
- Provide Additional Documentation – Sometimes lenders need more financial information (e.g., proof of income, bank statements, or business financials). Be prepared to supply additional evidence.
- Consider a Co-Signer or Guarantor – A co-signer or guarantor with a stronger financial profile can increase your chances of approval.
- Apply with Another Lender – Different lenders have different criteria. Consider applying with a lender that specialises in your asset type or financial situation.
- Increase Your Deposit – Offering a higher deposit can reduce the lender’s risk, improving your chances of approval.
- Seek Alternative Finance Options – You may qualify for other types of financing, such as:
- Personal loans or business loans.
- Leasing rather than purchasing the asset.
- Asset-backed or secured loans.