1. Apply to the lending institution and submit the materials required for the loan (including ID card, original household registration book, annual business license, tax registration certificate, relevant materials that can prove their legitimate income, legal and sufficient collateral and evaluation report, etc.). );
2. The lending institution examines the borrower's application and conducts pre-loan investigation;
3. After the materials are approved, both parties negotiate and reach an agreement on the loan;
4. Sign a loan contract;
5. The borrower goes through the registration formalities of mortgage (pledge), and after the formalities are completed, the lending institution issues the loan.
Legal basis: Civil Code of People's Republic of China (PRC).
Article 667 A loan contract is a contract in which the borrower borrows money from the lender, repays it at maturity and pays interest.
Article 668 A loan contract shall be in written form, unless otherwise agreed between natural persons.
The contents of a loan contract generally include terms such as loan type, currency, purpose, amount, interest rate, term and repayment method.
Article 669 When concluding a loan contract, the borrower shall provide the true information about the business activities and financial status related to the loan according to the requirements of the lender.