Although a credit application is one of the most important steps in getting financing for a home improvement project, it’s actually one of the easiest to complete. A credit application is a standardized form used to request credit from a lender like Foundation Finance. The form includes basic questions such as the amount of credit requested, the applicant’s identification details, and the financial status of the applicant.
However, as simple as it is to complete a credit application, it’s also easy to make small errors that could delay the approval process. Take note of these helpful tips to ensure a successful credit approval outcome.
IMPORTANT CREDIT APP BASICS:
Spell check before submitting.
It’s so easy to mistype a number or letter and not realize it. Accuracy is extremely important to ensuring shorter decision times.
If the application details are being handwritten, write clearly and concisely so it’s readable. Guessing your intent is not an option in decision making.
Provide complete details.
For example, customer employment should include how long they’ve been at their job and their position there, which supports stability factors.
Include customer emails.
By including the customer email, an electronic signature can be requested for remote signing during social distancing.
APP SUBMISSION TO-DOS:
Use the correct ownership type.
Foundation Finance has different approval parameters based on home ownership type, so make sure to select the correct type on the application.
List verifiable income.
All income listed on the application must be verifiable by paycheck stub, tax returns or other means to be considered for approval. If income can’t be verified, the financing could be rejected during the verification stage.
Get a joint application.
Even if one spouse says he or she has weaker credit, having a complete application from both parties increases the chance for approval.
Share any circumstantial details upfront.
If you have a complicated situation you aren’t sure how to represent on an application, call Foundation Finance for advice. We’ll help you complete and submit the application accurately.
Most consumers prefer to complete their paperwork online, especially with social distancing protocols. That’s also an easy process! Foundation Finance provides a custom link dealers can add to their website or send directly to their customers in an email or text message that allows customers to complete and submit their credit application electronically. The completed application is transmitted directly to Foundation Finance and uploaded into the dealership’s secure DecisionLender portal.
To make the credit app submission process nearly foolproof, Foundation Finance created a step-by-step video tutorial that guides dealers through each section of the credit form. For anyone who has any hesitancy in submitting a credit app to Foundation Finance, this is a must-see! Watch it here: Submitting Credit Apps.
Don’t let anything stand in the way of finalizing a deal. Once you ace the credit app process, you’re on your way to more closed sales!