You dont need luck on your side to gain loan approval

August 01, 2013
Julie Saker

There is a range of competitive home loan deals available in today’s mortgage market but potential borrowers may miss out on the offers if their loan approval is knocked-back or delayed.

Applying for loan approval of any type requires more than having good luck on your side. It is important to understand what lenders will be looking for when deciding to lend you money to purchase property, renovate, or for other means.

To put you on a path to a smooth loan approval process, Mortgage Choice in Kings Langley has compiled a basic five step application checklist from which to start:

 1.  Steady employment and regular savings - Lenders want to see a steady employment history and for existing borrowers, they will want records of regular loan repayments or for new borrowers, they will want evidence of regular savings. Keep in mind some lenders consider rental payments as savings evidence, but there may be conditions attached, so do your research.  

 2.  Clean credit file - Check whether you have multiple enquires or any defaults in your credit history, and if so, try to resolve them with the relevant credit provider before you apply for a home loan and if need be, provide an explanation to your lender. You can order a copy of your credit file from suppliers such as  

3.  Satisfactory statements - Your recent bank statements should be free from any suspicious withdrawals or transfers such as movements of sizeable sums of money into or from your account/s. If this does occur, include an explanation for the transaction in your loan application.  

 4.  Document your debt - Lenders will require you to list your current financial commitments, such as rent car and personal loans, credit and store cards, HELP debt, child maintenance, etc. Have your records on hand. Keep in mind the amount owed on your store and credit cards will not be the key factor for lenders; when assessing your ability to repay the loan, lenders will consider your overall credit limit.  

 5.  Know your limits - For those looking to purchase property, there may be borrowing limitations based on your deposit amount and/or the property’s location, size and type. For these reasons, consider using a local mortgage broker to help you research the mortgage market before applying for a loan.  

So, why not let our local team find the most solution for your individual needs. Contact Irene Cujko at Mortgage Choice in Kings Langley on 9674 8014. Or visit for more information.


Australia’s largest independently-operated mortgage broker, Mortgage Choice has a national network of hundreds of franchises supported by Group and State Offices.  

Its loan consultants write almost one in every 20 home loans in Australia by providing professional guidance on, and choice of, products offered by an extensive panel of leading lenders. Many provide a broader service, helping customers source commercial and personal loans, asset finance, deposit bonds and risk and general insurances.    

Mortgage Choice head office pays franchisees the same commission rate for the home loans they write, regardless of the rate paid by the lender selected by a new customer, so they work in each customer’s interests to source a product tailored to their unique needs.

Posted in: First home buyers

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