Does the lender check affordability and how is it assessed?
YES, your affordability will be checked.
Our lenders follow the same process as other types of loans, so affordability checks are in place.
- Typically, both the borrower and guarantor will be taken through an income and expenditure assessment by telephone.
- The assessment will require details of regular income, with evidence such as a recent 30-day bank statement.
- Details of all outgoings will be required, including rent or mortgage payments, existing credit commitment, utility bills, and living expenses.
- The Borrower and Guarantor are required to give honest reflections of their financial situation.
A credit report will be obtained, see Will I be Credit Checked?