Has my loan been accepted?

buffin

I recently applied for a secured loan from my existing lender. They ran through a telephone check of amount etc, then sent me a credit agreement, legal charge and various other docs for completion. The accompanying letter told me that they had provisionally accepted my application.

My wife and I completed the forms and then sent them back with all the appropriate documentation. A couple of days later I was contacted to say that the forms and paperwork were all in order and it was now being passed over to the underwriters/payment department for sending out of the money.

The question I have, and I keep asking the lender, is has the loan been accepted properly - are we really going to get the money or could something else happen at the last stage? Why is the application process so long and what happens at each stage?

BigCraigJohn

Wasnt yes loans was it?

tupperware

buffin wrote: »

I recently applied for a secured loan from my existing lender. They ran through a telephone check of amount etc, then sent me a credit agreement, legal charge and various other docs for completion. The accompanying letter told me that they had provisionally accepted my application.

My wife and I completed the forms and then sent them back with all the appropriate documentation. A couple of days later I was contacted to say that the forms and paperwork were all in order and it was now being passed over to the underwriters/payment department for sending out of the money.

The question I have, and I keep asking the lender, is has the loan been accepted properly - are we really going to get the money or could something else happen at the last stage? Why is the application process so long and what happens at each stage?

Sounds like your loan probably has two stages remaining.

Underwriting where the underwriters will decide if you are acceptable for the finance using whatever their standards are

then payouts where they will check over your documentation/proofs and authorise release of payment.

I'd imagine the phone conversation was to put you in one of three categories - auto reject, auto accept or referred to underwriting.

As long as the underwriters decide to accept it I doubt you will have too long to wait for your funds.

"Provisionally Accepted" will mean next to nothing.

buffin

Thanks for that. What I couldn't work out was my lender referred me to another company when I asked for the loan. The other company then ran through the application, sent the forms out, checked them and have now passed them back to the original lender - what sort of system could that be? Why couldn't it all remain in-house so to speak?