Tag Archives: credit score

Loan Underwriting Approval: Collateral, Character, and Capacity

Qualifying ratios are only the beginning of the loan approval process. The three Cs of loan approval in lending are: Collateral, Character (credit), and Capacity. Collateral – The lender will look to the collateral to hedge its loss if the creditor defaults on the loan. To help analyze the collateral, the lender will order an […]