Reasons Why Credit Filing Is Denied
Posted On April 11, 2019
Some of you may already have experience applying for loans to banks, both in the form of mortgages, credit cards, and credit cards. Have you ever experienced a credit application rejected by the bank? Maybe you have been rejected many times even though you have submitted to several different banks. Even though it could be a very urgent situation and you really need the funds. In fact, not everyone knows what caused the credit application to be rejected, both from the trivial to the very important. Here are some of the reasons why a bank application was rejected by the bank.
Errors of Personal Data and Documents
Usually when going to apply for credit, the bank will ask you to fill in your personal data on a form. Make sure you fill it carefully so there is no wrong data. In some cases, rejected credit applications can be caused by banks failing to verify your telephone number. In addition, when attaching supporting documents, if photocopied, make sure the contents of the document remain clearly legible. Also check whether all the requirements of the document have been completed. This is not only to prevent your submission being rejected, but it also saves you time not to go back and forth to the bank.
The Amount Submitted is Too Large
You certainly submit a credit amount according to your current needs. But the bank has its own calculation standards to assess the amount of the loan that suits you as a customer. These conditions are taken based on your current financial condition. Banks will usually evaluate the ability to pay prospective borrowers through the conditions of savings and also your assets such as houses and vehicles. If the credit you submit is too large compared to the ability to pay, the bank will refuse your credit application.
Amount of Income Not Subject to Requirements
Did you know that a number of banks have conditions for the amount of income for customers who apply for credit? Yes, most banks provide a minimum salary requirement of 3 million rupiah per month or 36 million rupiah per year. Of course this is done to anticipate the credit risk in arrears by customers. Your fixed income shows the ability to pay, as was discussed about the amount of credit submitted earlier. So before submitting, make sure the amount of your income is in accordance with the requirements, and the amount submitted is also balanced with your ability to pay.
Don’t Have an Active Credit Card
Some banks require customers to have an active credit card for at least 1 year to be able to apply for KTA. An active credit card means that the credit card is still used regularly and the installments are still paid. This is because the bank wants to see expenditure trends and also your installment payments. But this does not always apply in all banks, and also in all types of loans.
Previous Credit Payment Substandard
If you have applied for a credit beforehand, a substandard payment can be the reason for rejecting a new application. Have you ever heard about Historical IDI? Basically IDI Historical is a credit history owned by a customer that evaluates how smoothly your credit is repaid. The data is stored in the Bank Indonesia Debtor Information System (SID) and can be accessed by any bank. If you still have a outstanding credit bill, it will worsen your credit score. Therefore it is very important to pay your credit bills on time so that the next credit proposal remains smooth. Also avoid prolonged payment of minimum payments because it can also worsen your credit score.
Note: As of January 2018, the entire BI Checking process to obtain a Historical IDI can no longer be accessed through Bank Indonesia. You can get it through the Financial Services Authority (OJK) in the Financial Information Service System (SLIK)
If indeed you still have outstanding credit payments and have not yet been finalized, then the best way is to pay off the debt. One way to do this is to use a debt management program from a trusted service company. One trusted party that can provide you assistance in the debt management program such as Brer Rabbit. Brer Rabbit’s experienced team can help you get less installment waivers for longer periods of time. This system is a new program available at Brer Rabbit and can help you avoid default.
Brer Rabbit international is the first technology-based professional services company in Indonesia, which provides a debt management program. This program is designed so that consumers who are in debt, have the ability to control their finances again. Brer Rabbit Indonesia helps clients through debt management programs, specifically designed to suit different needs for each client. This program is a combination of education on various opportunities to increase income and reduce expenditure, as well as conduct negotiation processes on existing bank debt requirements to reach the amount of payment that is in accordance with the ability. Brer Rabbit Indonesia’s headquarters was established in Jakarta in 2015 by a founding team that has collective experience in the financial sector including debt settlement for more than two decades. Brer Rabbit made Indonesia as the center of operations as well as a blueprint for the company’s development plan to other ASEAN countries. Since July 2016, Brer Rabbit Indonesia has become the first company in Asia to get accreditation from the International Association of Professional Debt Arbitrators (IAPDA).