4 Changes Borrowers Want from Online Lenders
Borrowers will never be satisfied – they will always look for more and will find areas for improvement. This is why lenders should work hard in satisfying the requests of their borrowers. Otherwise, lenders won’t have the capabilities to stay in the market. Basically, all borrowers want change. They may think only for their best interests, and that’s the whole point of the game.
What are the key changes that borrowers want from online lenders?
Every borrower wants a low interest rate, yet not all lenders can grant this due to risk assessment. This is the main reason why borrowers often go for personal loan in singapore offered by licensed moneylenders online. Bank loans are a big no-no because of their variably high interest rates and complicated processes. If you want a loan that has low interest, you can never go wrong with personal loans. However, make sure that the lender you chose has a good reputation.
Higher Amount Ceiling
Aside from low interest, borrowers are looking for lenders that can offer higher standard amounts. Small loans can help because they can be repaid quickly. But what if the borrower has an important expense to cover? On top of that, his credit rating is not at par with what banks allow. In this case, banks should create new loan options that have higher amounts. Perhaps other conditions can be applied instead, such as additional background investigation.
Higher Approval Rate
A lender’s approval rate depends on many factors such as personal background, employment, and the reasons for the application. Some borrowers who gained pre-approval were denied the loan because of attitude problems. Others are denied because of shady credentials. Nevertheless, online lenders and banks should raise their approval rates to gain the support of more borrowers.
Banks are notorious for their plethora of requirements. This is part of their risk assessment process because a small percentage of borrowers have tricked numerous banks such as metrobank direct and rcbc bankard in the past. Banks should lessen the requirements for people who are somehow near the poverty line. Online lenders should do the same.
Implementing all of those changes will take time. Besides, some lenders have already applied one or two of the changes, but not all. As a borrower, you must understand that lenders are running businesses. Each business must have a system necessary for its survival. By following the system, the money lender sg can operate and offer its loan products easily.