Q:

How do you write a letter requesting a loan?

A:

A letter requesting a loan should be clear, provide all necessary information, and be typed using the standard fonts and format style on a computer word processor program, according to AviatekBank.com. Spelling and grammar errors should be avoided to appear as professional as possible, and it should use formal language.

The loan letter should list the applicant’s complete name, address, contact number and details about the applicant's occupation. AviatekBank.com advises against omitting the age of the applicant because it is an important factor for lenders.

Special care should be taken when completing the section that details the applicant’s monthly income and expenditures, and then the applicant should indicate the amount of the proposed loan. After providing this information, the applicant should next indicate the amount and number of monthly payments necessary to repay the loan. AviatekBank.com explains that it is unwise for the applicant to request an amount higher than what is realistic for the applicant to manage because doing so could cause the request to be denied.

According to AviatekBank.com, loan request letters should never hide a bad credit rating, and the applicant should use the letter to explain what caused a bad credit rating. It should also include what the applicant is doing to fix the issue. Loan request letters should be sent through registered mail in order to receive a receipt of delivery upon reaching the lender.

Sources:

  1. aviatekbank.com

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