9
loan application for every consumer loan request. At UFSB,
approximately 325 to 350 consumer loan applications were taken in
a typical month of which approximately 200 to 220 were approved.
At the main central branch of FNBP and its two satellite offices,
approximately 90 to 100 consumer loan applications were taken in
a typical month of which approximately 80 to 90 were approved.
Following completion of the application, the banks obtained
a credit report on the prospective borrower. Where a loan was to
be secured by real property, the banks typically obtained a
property report to identify any liens or other encumbrances. If
the result of the property report was satisfactory, an appraisal
of the property was typically obtained.
In evaluating whether to make a consumer loan, the banks
would consider certain financial ratios as well as other criteria
set forth in their established loan policies. The ratios that
were examined included debt to income and, where the loan was to
be secured with collateral, loan to value. In addition to
examination of the various financial ratios, the banks often
looked at a loan applicant's payment history and financial
stability.
Where the consumer loan application was denied, the
responsible platform employee would discuss the reasons for
credit denial with the prospective borrower and encourage the
prospective borrower to apply again in the future. In
Page: Previous 1 2 3 4 5 6 7 8 9 10 11 12 13 14 15 16 17 18 19 20 Next
Last modified: May 25, 2011