Why doesn’t the bank accept your loan requests? The reasons can be, in reality, of various kinds. The first step to be taken for the client, to which the doors of the financial institution have been closed, is to know the reasons for this refusal in order to find a quick and concrete solution.
In fact, credit institutions can, in fact, consider applicants unable to pay off the debt, mainly based on the income position. In these cases you could reduce the amount to be requested or look for a bank that has a higher tolerance threshold.
If, on the other hand, the person has been reported as a “bad payer” for a late payment, then he will have to wait for the cancellation from the “black list”. Furthermore, reporting to the CRIF (body that manages the credit information system) implies that any other financial institution refuses the granting of loans if it has already been done previously by a bank or other company.
When we are classified as “protested” and “bad payers” for the delays in repaying the installments, we are automatically “branded” and the names are entered in the Central Credit Register.
The reporting of delays in payments, when you are a bad payer, remains in the database for:
- 12 months from the date of regularization of the installments, if the Crif report refers to a maximum of two installments paid late;
- 24 months if the Crif report refers to more than two installments paid late or to any number of installments if delayed for more than two months;
- 36 months, if the Crif report refers to a loan with unpaid installments, or unpaid installments. Once the time has expired based on the aforementioned criteria, the Crif report from the bad payer database is automatically canceled. In the case of unpaid installments all the data relating to that loan are canceled from the database of the bad payer.
If the main obstacle to disbursement of the loan is a bad reputation, then the best solution is to provide guarantees and therefore make use of the possibility of a salary or pension transfer. To obtain the cancellation of a Crif report, a bad payer must necessarily pay the installments and regularize his position, and then wait for the expected period. The bad payer, meanwhile, if he works as an employee, can request a salary assignment, while the personal loan for the bad payer is precluded.
If, on the other hand, the loan is rejected because the applicant has too many open debts, then it will be necessary to resort to debt consolidation, a practice that allows all the debts that are open to be assigned under a single credit institution.
When, on the other hand, the loan is rejected because the risk of non-insolvency is very high, then we can resort to three solutions: to extend the duration of the loan to have a lower installment, therefore less expensive to repay; ask for someone to act as guarantor, with a surety ; use a co-obligated party, or find a second holder of the loan agreement, who is equally responsible for the debt to the company that granted the loan.
In the case of the surety, it is good to know that this is a real contract on the basis of which the guarantor bears the liability for the debt towards the bank that provides the loan. In this way, if the debtor cannot proceed with the payment of the installments, the guarantor will have to pay the reimbursement. If even the third person is not able to pay off the debt with the institution that provided the loan, his name will become part of the “black list”. Even the incorporation of a co-obliged represents a solution in cases of high risk.
If the loan is refused or the loan application is chosen, the request will remain in the system for 30 days. The expert’s advice is to make a new application for financing after the automatic cancellation in order to avoid an immediate refusal, only for the fact that a request is already in progress or, for the most fussy banks, the reason can be made known a priori of the refusal that could, often, lead to a new refusal. In any case, it is advisable to wait 30 days to make the necessary changes and start the future practice smoothly.