4 Things Affecting Your Bank Statements
Dilleen Property Group 2022
The transactions on your bank statements can greatly affect your ability to get a loan from the bank.
Here are four key things banks look for which may result in a loan decline:
1. Afterpay/ Zip Pay
Services such as Afterpay and Zip Pay are credit liabilities, this means that instead of your bank account showing a one-off payment, you would have a series of small payments ongoing in your bank account. Having multiple Afterpay or Zip Pay accounts can negatively reflect upon your risk profile.
2. Gambling
Gambling transactions on multiple accounts can also hurt your ability to get a loan from the bank. The bank does not take into account any winnings that are made through gambling transactions. Instead, these figures would only be added onto your recreational and entertainment expenses. Small gambling transactions would accumulate over time and affect your credit score.
3. Suspicious transactions
It may seem harmless to write silly descriptions when transferring money to friends. However, when you are applying for a loan, these silly descriptions may be considered as suspicious transactions in the eyes of potential lenders. This may result in long explanations about what the transaction was for to protect your credit profile.
4. Keep your expenses low
You should aim to keep your expenses low when you are looking to apply for a loan. This includes everyday expenses such as fuel, groceries, shopping and subscriptions. You can have a chat with your broker for any out of the ordinary expenses to keep your statements tidy.
If you require assistance or have inquiries about your bank statements, you can contact our recommended broker Justin Picker.
Disclaimer: This is not intended as legal, financial, or investment advice and should not be construed or relied on as such. Before making any commitment of a legal or financial nature, you should seek advice from a qualified and registered legal practitioner or financial or investment adviser.
