Wednesday, May 18, 2016

Tighter lending policies

It didn't take long for stress to start.

Once again I'm going through the process of getting a loan.

This time round, I know what I need to do, however I've come up against a new frustrating barrier - I can't get a loan!  The government has changed the lending criteria, hence, it is now increasingly difficult to get a loan.  Some of the changes include rental income being discounted by 20%, interest rates are buffered at around 7% even though they are currently at an all time low, monthly expenses are determined according to income, so it assumes that the more you earn, the more you spend, even if that is not the case.  All this has led to a decrease in my borrow capacity due to my poor serviceability - ugh hate that word!  I can't help how little I earn!

So I've been going around to the different banks and it is a sad state.  I wouldn't even be able to borrow the amount I currently have!

Not quite sure how I can overcome this...

No comments:

Post a Comment