How to know if the payroll loan has been approved?
Generally who is applying for a payroll loan, has a great urgency to receive the money related to the loan, right? And in these cases, the wait is always a separate anxiety, not to mention the concern about whether or not it will be approved. wapifasa.org fleshes this out
That is why, when applying for payroll loans, understanding very well how the deadline works and how the approval is performed is one of the most important steps to avoid unnecessary trouble.
Today we at Credit Sheet will explain how to know when the loan was approved and how long it will be available in your account.
How do I know that the payroll loan was approved?
Usually people complain about the long delay for both approval and credit release when applying for a loan.
Can credit be approved and released in a single day? How is the credit analysis process performed? How long will the money be available in your account? We will explain all this to you.
How is credit analysis and approval done?
The payroll loan application goes through different stages, but let’s talk about the most important ones.
Credit analysis corresponds to the evaluation by the financial institution of the loan application. Each bank or finance company has its own credit policy and in order for it to agree to give credit it is necessary for the employee or employee applying for the loan to pass the credit institution’s credit policy.
Each financial institution has its own policy and that is why the employee can apply for credit with different financial institutions.
What is credit endorsement?
Credit approval is when the bank or finance company has already approved the credit and it is up to the company’s Human Resources department to endorse the contract, that is, to authorize the applicant’s payroll or paycheck discount.
What we call endorsement is nothing more than the reservation of part of the monthly installment, referring to the payroll loan that will be in favor of the bank. It is also in the record that will be all the data and conditions regarding the loan agreement such as: interest rate, payment term and etc.
This is the guarantee that the contract was actually fulfilled. Besides of course, make the entire loan process totally clear. And the faster the registration is done, the faster the money will be released.
How is the payroll loan released?
Upon review and approval of the credit, the bank will evaluate the paycheck of the requesting employee. And for the amount to be released, it will depend on what we call the available payroll margin, ie the credit limit is set according to the policy of each bank or financial institution.
In addition, your company may also set the limit, within the salary of its employees, which they can use as loans. This will help the financial balance of your employees, not “allowing” them to wind up in big debt.
Afterwards, the contract is endorsed by the company and the bank or finance company credits the money in the employee or employee’s checking account within two business days.
We now have the ease of access and internet resources, allowing the entire payroll loan process to be done completely online.