4. You want a loan to purchase an old building!

When you desire to purchase an old building, banks may not agree to sanction you a home loan. As banks have a policy of not to lend home loan to applicant who aspire to buy an old buildings which is more than 20 years old. However, this criteria (age of the building) varies from bank to bank.

Here you can improve the chances of getting your loan application approved by increasing the down payment and adding some form of security. Otherwise try to settle down for a lesser loan amount.

5. Your loan application has been rejected before!

Most of the banks maintain records of all rejected loan applications in their database. So if once your previous loan application is rejected, it will show up in your credit profile as when the banker will check it before approving your current request for loan. And this will affect your credit worth!

To safeguard yourself from trauma of loan rejection, avoid asking for loan without any valid reason.