When you apply to a bank for a loan, your personal letter and the status of your liability are subject to review by the bank. Let us find out in detail how banks recognize your debt position。

How does a loan bank approve a debt

When the bank reviews the status of the liability, it will look at your letter report. This report contains your previous loan approval records, and if you have a loan or repayment activity, it means you have a liability. However, if you only have a loan approval record and no loan record, you have no liability。

However, if you have a large approval record but no record of borrowing, it may be considered by the bank that your creditworthiness is low. At this point, the bank will be more stringent when it reviews your application。

Also, let's talk about loan property. Even if the house doesn't pay off the loan, you can get additional loans by mortgage. But this requires a high retention rate and a potential for appreciation. In this form of mortgage, you can still use or rent your house normally, just as long as you have a guarantee that you will pay your dues。