Have you ever applied for a loan for a home, car, or for personal
reasons? Chances are, if you have, you have been uncomfortable with the
application process. There are lots of questions that you are asked on a
loan application: questions about income, mortgage, occupation, place
of employment, savings and checking accounts, and so on. Loan
applications are meant to be grueling: in order to award a loan, the
company (whether a bank or department store) must see your ability to
pay and measure that against their decision to risk.
What happens in the loan process? The company tells you, “We need a set amount of time before we can get back to you.” Depending on the number of loan requests, the waiting time may be as little as a few days or as many as a two to three weeks. During that time, you spend time trying to figure out whether or not you think the loan will go through. For many perfectionists, the waiting period beats them up mentally and emotionally: they start to count all the times they missed loan payments or question whether or not they really have a financial record or credit score that is worthy of the loan in question.
The day of the results come and you anxiously rush to your email account or mailbox to see the nature of the results. You have been approved! You breathe a sigh and look forward to affording that car, house, or cross-country summer vacation on your RV. But what about the individual who faced the opposite outcome? What is the rejected individual to do?
Lenddo has a solution. According to Lenddo’s services, individuals can receive a loan from Lenddo by way of social networks. The saying “It’s not about what you know, but who you know” comes to mind. If you have numerous “friends” in your social networks (a combination of family and friends) and work full-time, you have a solid chance of receiving a loan from Lenddo—as much of a chance with Lenddo as an individual with an excellent credit score would have at a department store or bank.
At this point, a normal loan reject is intrigued. “I like what I hear so far, but how can I know if I qualify?” Lenddo uses three mathematical equations to make their decision about whether to grant or reject for a loan:
The company currently exists in Colombia and the Philippines, so there is no American-based Lenddo company at the present time. However, even if such a company were to come to America (or the idea implemented into credit scores and loan regulations with companies), there would be some major criticisms leveled against it. One such approach concerns full-time employees: the requirement of full-time employment eliminates part-time employees who need a loan, too. Next, social networking seems to pose conflicts with full-time employment. If someone works long hours (anywhere from 40 to 60) and he or she cannot invest time into social networking sites such as Facebook, Twitter, LinkedIn, Google +, and Pinterest, then even many full-time employees will still not qualify for a Lenddo loan. Some full-timers would qualify because they hold social networking jobs of some kind where they work online the majority of the time. Most employees, however, work at traditional, on-site companies where they report to work at 8am, clock in for the day, clock out at 5pm, and head home for dinner. The Lenddo plan would still hurt the majority of individuals in the traditional workforce.
Next, how far would loan companies take the idea of “social networking”? What about YouTube fanatics who have a YouTube account, playlists that others follow, and submit videos? What about these same YouTubers who may have blogs and forums they created and have followers there? If social networking is confined to only a few sites (such as the ones above) and will not branch into blogs and websites, this will also exclude many others who cannot afford a loan otherwise. Not only would this exclude full-time employees (as many cannot maintain a blog with a busy schedule), this would also exclude college students and graduate students who could use the money for educational purposes. At this moment, college students are forced to have a co-signer for their loans. If they could receive credit for their own social initiatives (such as blogs), they could receive some form of help in meeting their educational expenses.
It seems then, that a plan such as Lenddo’s is a wonderful one that still needs some tweaking if it will ever make a splash in America. We here at Bestcreditreports want to emphasize constantly the importance of a reliable job, steady income, and on-time bill payments. While social networking has significance, the nation’s best citizens are all-around individuals who can juggle social time, work life, and proper conduct. A reliable credit score and credit report cannot be beat.
Get more information about credit monitoring, credit monitoring service, credit score monitoring, credit reports Please CLICK HERE
Source: http://www.bestcreditreports.com/blog/
What happens in the loan process? The company tells you, “We need a set amount of time before we can get back to you.” Depending on the number of loan requests, the waiting time may be as little as a few days or as many as a two to three weeks. During that time, you spend time trying to figure out whether or not you think the loan will go through. For many perfectionists, the waiting period beats them up mentally and emotionally: they start to count all the times they missed loan payments or question whether or not they really have a financial record or credit score that is worthy of the loan in question.
The day of the results come and you anxiously rush to your email account or mailbox to see the nature of the results. You have been approved! You breathe a sigh and look forward to affording that car, house, or cross-country summer vacation on your RV. But what about the individual who faced the opposite outcome? What is the rejected individual to do?
Lenddo has a solution. According to Lenddo’s services, individuals can receive a loan from Lenddo by way of social networks. The saying “It’s not about what you know, but who you know” comes to mind. If you have numerous “friends” in your social networks (a combination of family and friends) and work full-time, you have a solid chance of receiving a loan from Lenddo—as much of a chance with Lenddo as an individual with an excellent credit score would have at a department store or bank.
At this point, a normal loan reject is intrigued. “I like what I hear so far, but how can I know if I qualify?” Lenddo uses three mathematical equations to make their decision about whether to grant or reject for a loan:
- Bayesian—matches your lifestyle with others who have a similar background
- Validators—inquire about your identity and check your biographical details to authenticate who you are
- The character and background of those with whom you associate (family and friends)
The company currently exists in Colombia and the Philippines, so there is no American-based Lenddo company at the present time. However, even if such a company were to come to America (or the idea implemented into credit scores and loan regulations with companies), there would be some major criticisms leveled against it. One such approach concerns full-time employees: the requirement of full-time employment eliminates part-time employees who need a loan, too. Next, social networking seems to pose conflicts with full-time employment. If someone works long hours (anywhere from 40 to 60) and he or she cannot invest time into social networking sites such as Facebook, Twitter, LinkedIn, Google +, and Pinterest, then even many full-time employees will still not qualify for a Lenddo loan. Some full-timers would qualify because they hold social networking jobs of some kind where they work online the majority of the time. Most employees, however, work at traditional, on-site companies where they report to work at 8am, clock in for the day, clock out at 5pm, and head home for dinner. The Lenddo plan would still hurt the majority of individuals in the traditional workforce.
Next, how far would loan companies take the idea of “social networking”? What about YouTube fanatics who have a YouTube account, playlists that others follow, and submit videos? What about these same YouTubers who may have blogs and forums they created and have followers there? If social networking is confined to only a few sites (such as the ones above) and will not branch into blogs and websites, this will also exclude many others who cannot afford a loan otherwise. Not only would this exclude full-time employees (as many cannot maintain a blog with a busy schedule), this would also exclude college students and graduate students who could use the money for educational purposes. At this moment, college students are forced to have a co-signer for their loans. If they could receive credit for their own social initiatives (such as blogs), they could receive some form of help in meeting their educational expenses.
It seems then, that a plan such as Lenddo’s is a wonderful one that still needs some tweaking if it will ever make a splash in America. We here at Bestcreditreports want to emphasize constantly the importance of a reliable job, steady income, and on-time bill payments. While social networking has significance, the nation’s best citizens are all-around individuals who can juggle social time, work life, and proper conduct. A reliable credit score and credit report cannot be beat.
Get more information about credit monitoring, credit monitoring service, credit score monitoring, credit reports Please CLICK HERE
Source: http://www.bestcreditreports.com/blog/
