Why my bussiness loan application get rejected???

There is a hundred thousand of reason to reject a loan application. One of the most common reasons is burst DSR. Some may wonder what DSR means is over here. Well it is just another abbreviation of Debt Serving Ratio. As a normal applicant the maximum DSR is not more than 75%.

Another common reasons credit operation using to reject an application may sound funny but it is true. Low credit bureau score or fails credit bureau score which means the applicant is not a good payment in all credit repayment.

A consumer credit bureau is a repository of factual information on the credit application and repayment records of consumers only. A credit bureau provides this information to its credit providers (banker), under authorized conditions, to help them to determine whether or not the person applying for credit is likely to repay. In doing this, a credit bureau helps lenders to make better lending decisions quickly and objectively. It also guards against fraud. Credit bureaus are a common feature of developed countries around the world, and this concept is not unique to Singapore.

Recently I’d a customer with CBS (again abbreviation) as low as 50. In another words he is consider bankrupts and black listed by banking sector. Normal credit bureau score is about range from 189 to 210. And my score definitely more than 230!

This means that the more credit you are using the lower is your CBS. The lesser credit card you hold on hand the higher chance you get out of rat race. So my dear friend, only spend under your means because the banker always win!