Does bank microfinance affect the down payment ratio?
Having a small loan will affect the down payment ratio.
Banks will pay attention to the borrower's debt ratio and income when approving mortgage applications. If the borrower's debt ratio is relatively high, coupled with the monthly mortgage repayment, the borrower's monthly repayment pressure will be very great, and it is easy to be overdue. This means that banks have to take great risks, and most banks are unwilling to take such risks.
If the borrower has a high debt ratio and wants to apply for a mortgage, either pay off the small loan in full or increase the down payment ratio. With the increase of down payment ratio, the capital risk that banks need to bear will be reduced, and then the debt ratio will be recalculated, so that the possibility of borrowers applying for mortgages will be greatly increased.
Moreover, banks themselves don't like customers' experience in applying for small loans. After all, private lending institutions and banks are competitive. If borrowers have too many records of small loans, banks usually have a bad first impression on borrowers.
For example, in Shenzhen, if the borrower has more than three loan records, the down payment may need to be increased to 50%.
Of course, if the borrower's micro-loan has an overdue record, then the bank will definitely not pass the loan approval. Unless the borrower is a VIP customer of the bank, he needs some financial support to become a VIP customer. Generally speaking, borrowing money must be reasonable.
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