What Do I Need to Apply for a Personal Loan?

Most lenders evaluate similar factors for personal loans, such as credit score, income, employment history, debt-to-income ratio, and available collateral (if applying for a secured loan).

Understanding these criteria can help borrowers prepare for the application process and increase their chances of approval.

Before submitting your loan application, ensure you have all the necessary information required for assessment. This may include:

• Your employment details
• Your credit history and credit score
• Your income and expenses

Aside from those, you’ll also need to pass typical loan application documents like proof of identity, employer verification, and proof of address.

Take note that some lenders may charge a personal loan origination fee, typically between 1% and 8% of the total loan amount to cover application and assessment costs.

Tip: You can do a pre-qualification to determine whether you are likely to be approved—this can be done without harming your credit score. But if your credit score isn’t where you want it, that’s okay! Focusing on improving it before you apply again can give you a better chance of approval in the long run.

If you’re all set with all the information and loan documents needed, you can find the best lenders offering the best personal loans and apply with LoanFinder™️ today!