Underwriting – a guide
During these challenging times it is more important than ever to ensure we have as much information as possible to allow our finance companies accurately access risk and maximise approval levels.
Not only are financial institutions more reluctant to provide finance during times of austerity, but also fraudulent requests for credit are also on the rise. This is why, if you have applied for finance recently, you will have been asked for more supporting information than ever before. Being able to provide copies of items such as proofs of address (domestic bills and or bank statements etc), proof of ID, Driving Licence/Passports are now the norm. Although this may appear to be an overly forensic request from finance companies, it is to ensure you can confirm you are who you say you are, to protect your identity.
The bullet points below provides further insight as to what Finance Companies would ideally like to see accompanying finance proposals such as these.
What exactly is required will depend on the requirement and the associated risk but the more information you can provide, the greater the chance you have of an approval.
Where possible please provide the following where applicable:
For Business based finance applications…
- Audited/certified accounts
- Or Up to date management accounts
- Or Business Bank Statements
- Financial budgets and projections
- Directors details (home address, DOB, years at address)
- Bank credit facility letters
- Confirmation of home address, D.O.B, years at address
- Proofs of address
- Copy driving licence
- Bank statements
- Exposure on current commitment *
- Directors Personal Guarantee *
- Cross company guarantee *
- Buybacks *
- Repayment term and profile (how many advanced rentals?)
- Certified statements of personal worth *
- Press excerpts *
- Additional discount secured over and above Tilsun terms *
In summary, the more information you can provide to assist in proving who you are, and you have the ability to repay the credit you are applying for, the greater likelyhood the finance request will be a positive one.