Credit Scoring: a numerical system for assessing the eligibility of a loan applicant.
One major issue is the lack of a national credit bureau to provide credit information for banks to evaluate individual loan applicants.
These practices only stopped when the bank began publishing the names of loan applicants as well as those who received loans.
The bank is ostracizing mortgage brokers because it wants the most suitable loan applicants.
What do lenders look for in a loan applicant?
Banks and other lenders both supply the data and use it to evaluate loan applicants.
The process was so slow and cumbersome that banks would try to verify information on only a small percentage of their loan applicants.
A first-time loan applicant creates a profile that describes his or her business and personal details.
The loan applicant needs assurance that his proposals for future operations are soundly based.
Banks aren't allowed to turn down loan applicants for refusing to buy other products, but those seeking loans often have the opposite impression.
