What do lenders look at when deciding whether or not to approve a loan or credit card?
A. Typically, lenders want to see how you have managed your credit obligations in the past. This helps them determine whether or not they should approve your application for credit and the term of the credit extension. Example – a gold card vs. a platinum card. A credit score based on your TransUnion credit report is one of several tools that lenders use when evaluating your application for credit. It provides a summary of how likely you are to repay a loan as agreed and based on how you have managed your credit obligations in the past. Lenders may also evaluate other information in their loan evaluation process. This may include information you provide on the credit application (income, length of time at current address and other banking relationships you may have).
