How to make the most of tightening lending restrictions with leading finance company Yes Finance.
Post: February 5, 2020
Recent years have seen tighter lending restrictions, new regulations and an increased emphasis on a borrower’s financial wellbeing. All these factors have made it all the more difficult to successfully get a loan.
Responsible Lending Code
The narrowing of lending restrictions is, in part, due to the Responsible Lending Code. The Responsible Lending Code introduced by the Government in 2015 was developed as a reply to the global financial crisis of 2007-08 and the bullish housing markets that New Zealand has experienced in the last half decade.
While these restrictions can make getting a loan seem like climbing a mountain, the friendly experts at Yes Finance are here to help you and make the process as easy as possible.
Some tips to help get a loan
Securing a loan involves more than just waltzing into a lender and asking. The friendly financial gurus at Yes Finance share some tips to help someone looking for a loan increase their chances of success.
Peter advises “One of the first things we always recommend is to make sure that your financial history is as clean as possible”. If you have any outstanding defaults, it is advised that these be paid before you submit your application.
Don’t forget about your credit score either as it can have an impact on your loan application. A good credit score will influence your chances of achieving a low finance rate, however a bad credit score could see your loan application being declined.
If you are looking for a business loan make sure you have financial records like profit and loss statements, a cash flow forecast and your business plan. If you’re new to business and don’t have figures to back up your application then lending options will be limited.
Double check that you are in a position to comfortably manage your loan repayments without defaulting, as missed payments are also often recorded in your credit history.
Peter adds “We recommend drafting a budget factoring in all of your monthly incomings and outgoings, with a bit of a buffer for any interest rate increases”. This is to ensure that you can make the repayments on time and to confirm that they won’t be too big of a stretch for you.
Everyone’s financial situation is different
At Yes Finance they understand that everyone’s financial situation is different and requires a unique solution that will put you in a comfortable position before and after borrowing.
Peter adds, “When you call Yes Finance, you will be talking to a real and empathetic Yes Finance staff member, not a call centre or chatbot”.
New Zealand primary, intermediate and secondary schools return to school between Monday 27 January and Friday 7 February.
Whether it’s back to school finance, a new car, a holiday or something else, simply go online at www.yesfinance.co.nz to apply for a personal loan and let the friendly team take away your financial stress.
Personal and Business Lending
Yes Finance specializes in personal loans, including cars, boats and holidays, and business loans for those looking to take the next step up in their business through expansion or upgrade.
Check out Yes Finance’s simple and easy to use online applications
Have a listen to Yes Finance director, Peter Steel, talking to Marcus Lush on Newstalk ZB talking about why Yes Finance is the first choice in finance company for New Zealand businesses:
About Yes Finance
Yes Finance can assist you with SME finance, personal finance, travel loans, boat loans, chattel finance, plant and equipment finance, business loans, loans for equipment and machinery and asset finance. But no matter what kind of finance you need, the team at Yes Finance can offer you a real solution.
Yes Finance have been in business for 20 years, making them one of the oldest privately owned finance companies in New Zealand. They are an alternative to the rigid approach of the banks, providing customer focused solutions for commercial and personal finance. They are based in Auckland but operate throughout New Zealand.