Using your phone's internet browser
go to:  qna.rediff.com
Click and drag this link to
the Home icon in your browser.
Q.

How do banks check the credentials of a borrower?

Tags: banks check
Asked by Neha Sahi, 07 Aug '09 01:45 pm
  Invite a friend  |  
  Save  |  
 Earn 10 points for answering
Answer this question  Earn 10 points for answering    
4000 characters remaining  
  
    
Keep me signed inNew User? Sign up

Answers (3)

 
1.

Banks rely on the following documents to gather information on your personal and financial status viz., Identity Proof Document, Address Proof Document, Application Document [includes a host of personal information], Income Tax Returns, Balance Sheets, Details of your other accounts / borrowings with other Banks, Your past statement of accounts.

There are credit verification agencies, who are entrusted with the job of confirming your residential status and employment status etc. They can also write to your existing bankers for opinion.

Your IT Returns and Bank Account Statements can provide them an insight into your earning capabilities/ other borrowings/ your track record in repayment of existing liabilities and your ability to absorb further repayment load etc.

They can also verify the status of your borrowal accounts [if they have turned bad if you have defaulted in repayment elsewhere] from the data base of a centralised agenciy - CIBIL.
Answered by S. Ramesh, 07 Aug '09 02:01 pm

 
  
Report abuse
Useful
 (1)
Not Useful
 (0)
Your vote on this answer has already been received
2.

As per annual turnover.
Answered by sanjay karmakar, 07 Aug '09 02:12 pm

 
  
Report abuse
Useful
 (0)
Not Useful
 (1)
Your vote on this answer has already been received
3.

There are many many checks and cannot be written here
Answered by atoz, 07 Aug '09 02:00 pm

 
  
Report abuse
Useful
 (0)
Not Useful
 (1)
Your vote on this answer has already been received

Ask a Question

Get answers from the community

600 characters remaining

Related Answer

Q.
A

Classical example;Chennai Regional Passport officer who has recently been raided by CBI has issued passport to the persons having address likeC/O so&s..more

Answered by anantharaman