Direct Lenders and The Steps to Applying

When applying for a small loan via direct lenders you can expect to have to complete a number of stages before the lender is able to make their decision as to whether a loan is suitable or not. Direct lenders like any other named lender within this market, take the issue of responsible lending very seriously and as such want to ensure when approving a loan they are satisfied the loan is both sensible and affordable to the individual circumstances of the applicant. The process undertaken by direct lenders is one which is in-depth and detailed but at the same time can take place in a timely manner and as such, is in-keeping with the style and nature of the product model generally. Direct lenders exist to offer short term borrowing via the means of an online based application process. Unlike larger lending tools, such as credit cards and Hire Purchase, the specific purpose of these loans is one which offers a small and a short term lending resource. As such consumers expect the application process to match the product being offered. This means the application process has been designed to be timely and of little fuss to the applicant.

Applying Direct Lenders

In order to achieve a process which is fuss free and easy to follow online, direct lenders offer an application form which usually takes little longer than 10 minutes to complete. The application form itself is usually made up of just a few sections, designed to gather key information needed to determine whether the loan and customer are suitable. The vast majority of lenders offer what is known as a ‘mobile optimised’ application form which means the application layout will adjust to fit the device being used. This means whether the application is completed on a Smart Phone or a tablet, the view visible by the applicant will be clear and therefore easy to follow.

In order to make effective and sensible lending choices direct lenders will use a combination of both manual and electronic checking systems. The electronic systems used by direct lenders will be the result of in-depth research conducted over time in order to understand what each applicant needs to ‘pass’ in order to be successful. This means by the use of electronic means the lender can verify details such as identity, address, bank account information as well as card details. Failures to validate this electronically will then result in manual checks depending on the overall result of the application. Generally speaking the manual checks of the application will be completed by direct lenders in instances where all other key checks have been undertaken by the automated part of the application process. These manual checks will likely look to assist the lender in understanding not only the customer’s credit worthiness but also their ability to afford the loan. It is likely that the manual checks will include a review of the application in terms of general information, credit reference files and also budgeting information supplied by the applicant.