Not all lending companies consider the same pre-qualification factors on how much money to lend a seaman loan applicant. There are standard computations through a loan calculator with which the marketing assistants through the lending company policy computes how much exact loan is possible for a borrower to avail as soon as the contract basic salary is available. Basically, a 200% approval based from the basic salary is probable but in some cases, figures may change depending upon some not so obvious criteria. These criteria helps influence the loanable amount a seaman may be able to loan from the lending company.
With the facts stated above, we at SeamanLoan.Com would like to inform lendees (seaman borrowers and their spouse or co-borrowers) that the loanable amount for seaman loan in the Philippines is determined through so many other external factors. These factors influence how much money a seafarer may be able to borrow from the lending company.
To help answer the questions by so many loan applicants we have encountered in our daily seaman loan application assistance program, we wanted to enumerate these factors so seafarers know outright as a borrower what and how much loanable amount to expect from their application even prior to an approval. Figures may not be exact but chances, are, these criteria will help both the agent and the borrower know chances of higher loan approval. Note that if certain criteria as described below are met, a request for higher loanable amount may be possible.
For example, from a loan calculator, if a seafarer receives $500 as basic salary as stated in the contract (not including overtime pay and allowances or extra pays) with a 200% simple computation, this seafarer may be able to get a possible loanable amount of $1000 or twice the exact figure amount stated in the manning agency contract. Factors that might influence higher or lower loan approval amount are as follows below.
Factor #1 – Contract Salary
The most important factor that affects any loan application with respect to loanable amount is the capacity to pay. With an unsecured, non-collateral loan like the seaman loan, it is the stated or disclosed basic salary that helps the lending company compute how much loanable amount can be possibly approved for a sailor borrower. The higher the contract salary, the higher the loanable amount can be approved.
Factor #2 – Residence Status
Maritime workers who live in an own house and lot or a relative house or under a mortgaged house have the advantage. On the contrary, those who reside under rented abode have higher risk of getting lower loan amount approval, worse, a declined loan application.
Factor #3 – Percentage of Allotment
The allotment slip is one of the major requirements for seaman loan. In some cases, the allotment ATM will be confirmed on how much is being sent to the allottee on a regular monthly basis. This is because the higher the allotment amount, the higher the chances of getting a higher loanable amount approved. Self allottee and pay-on-board maritime workers on the other hand may have little to moderate effect depending on which lending company they are applying for. So basically, it is very important for your loan agent or broker to let you know which lending company you qualify best. Here at SeamanLoan.Com, we make sure you get the perfect provider from our list of multiple top lending companies with which we are duly accredited to get your loan application processed.
Factor #4 – Position of Seafarer
In some cases, position matters like in the case of one of our major loan providers here at SeamanLoan.Com wherein a major consideration for computing possible loanable amount is the position of the seafarer. Ship captain (250K-300K loan) for example will always have the highest possible loanable amount to be approved compared to an oiler (75K-100K). In addition to this, those who are employed in a cruise ship will have higher possible loanable amount in some cases depending upon the lending company that will cater to the loan application.
Factor #5 – Declaration of Expenses
With respect to assets and liabilities, a seafarer’s daily or monthly expenses may easily be determined based upon the declared information in the seaman loan application form. Today, many lending companies use an extra sheet for declaring the daily or monthly expenses from food to education of dependents to mortgaged house or car as well as credit card bills.
If a seafarer declares his expenses with the wrong thinking that the bigger the capacity to spend, the bigger the possibility of getting a higher loan approval without consulting with his agent, it could absolutely be the biggest mess he or she has ever committed. This is the dilemma of walk-in applicants. Like for example if a mariner declares bigger expenses with food and education, trying to overact the amount, chances are, it will affect for a lower loanable amount for the sole reason that the bigger the expenditures, the lower the capacity to pay becomes. In short, more expenses means lower loan to be approved. Only the wise will know so be sure to talk to a qualified and professional loan consultant who knows his way in and out of the lending company rules, procedures and policies to commit less mistakes while a loan application is on the way.
Factor #6 – Previous Loan
Very few would know and realize that a loan in the past can actually dramatically affect a current loan application. If you think you can get away with a previous bad credit record, unpaid credit card bills, replevin case, BP-22 case (bounced check case) or even the simplest restructured loan or delinquent loan payments, you are wrong. But fear not, there is always a way out and if you are lucky, you may even qualify to apply with a different lending company provider. See our post on how to apply step by step. It’s just that don’t expect to demand for lowest interest rate seaman loan provider. With any of the different cases we’ve stated above, don’t expect yet another favor except there might still be a way for you to qualify to other lending companies out there. We might have one for you in fact but don’t argue nor demand for anything at all. With a case as yours at this point, you don’t have the liberty to any more favor extensions.