Credit to Tradesmen is a subject that credit often needs in our trades as everyone. Our tradesmen, who are in need of constant cash conversion, are behind the banks and the state in terms of credit and can get the most suitable loan with special interest rates.
How Is Trades Credit Calculated?
When the owners apply to the banks for the tradesmen loan, they can receive attractive offers within the scope of the relevant regulations, such as personal requirement loans, without a certain amount and maturity limit. However, depending on the campaigns of the banks and the financial situation of your business, there may be a change in the amount of loan desired.
Is Guarantor Required When Taking A Tradesman Loan?
Banks do not require guarantors in general for loans used for commercial use, but there may be a change from bank to bank depending on the amount of the loan.
Most of the banks offer very attractive campaigns with special terms and percentages for% tradesmen and SMEs. Some banks may request certain documents during the application of tradesmen loan . But not every bank wants these documents.
- Commercial register newspaper
- Copy of the identity card of the partners, if there are partners.
- Balance sheet and income statement for at least the last two years
- Inventory of assets belonging to partners and company, if any
- Signature Circulars
- Documents such as the current tax plate may or may not be requested depending on the working status of the banks.
Why Do We Need Tradesmen Loan?
Our tradesmen sometimes need credit by having cash shortage when their expenses are more than their income, and sometimes they need credit to serve in larger branches in order to grow their businesses. First of all, let’s not forget that we need to apply as a business, not as an individual, so that we can apply for tradesmen loans.
When buying tradesmen loans, let’s not forget that banks evaluate the financial situation of the company, as well as the status of the owner and partners. Let’s not forget that our enterprise’s corporate rating must be good and that our individual rating must be good in order to receive the loan.
The interest rates vary from bank to bank as the tradesmen loans have a long maturity and a higher credit limit. It is useful to make a decision after making a loan comparison with the most suitable loan for your budget and purpose. Let us make this comparison for you, you just put your work on your credit.
I applied for tradesmen loan, I was refused, what should I do?
When applying for tradesmen loans, your credit registry is of great importance, just like normal loans. If your credit was rejected because your credit score is low, we should first investigate it and find out why our score is low.
Why Credit Rating Is Low;
- Due to regular and timely unpaid bills and credit cards
- Making multiple loan applications negatively affects your credit registry
- You have a high limit card and your credit score will be low if this card is in debt.
It should not be forgotten that the banks do not want to give you money without being sure that they will get it back and without guaranteeing themselves.