FNB Home Loans – How can You Guarantee Approval?

FNB Home Loans – Why would anybody specifically choose FNB Home Loans for their bond? Ask any reputable mortgage broker and they will tell you that FNB has a fast turn around time, good service and a fair lending policy.

If you want to apply for a FNB home loan keep these in mind:

FNB Home Loans Tip 1 – Always Pay Debts on Time

When applying for a home loan you have to have a clear payment profile. All the banks, including the FNB home loans department, will check your ITC report with the two major credit bureaus, namely TransUnion and Experian.

So, what do you have to do to maintain a clear payment profile? There are two major factors, firstly you need to pay the full amount due every month, and secondly the payment must be made on time, meaning, on or before the due date.

If you don’t adhere to this you will be listed as a slow or erratic payer, which lowers your credit score and increases your risk to the banks.

FNB Home Loans Tip 2 – Stop Making More Debt

When applying for a home loan, the last thing you want to do is to go and make more debt.
Whenever you apply for debt, that company does a credit check, and every time somebody does a credit check on you, your credit scoring decreases.

This may show the bank that you are not in control of your spending habits – FNB home loans strictly stays within the boundaries of the National Credit Act and will not grant you a bond.

FNB Home Loans Tip 3 – Know That There Will Be Costs

What people don’t realize is that there are significant costs involved when purchasing a loan. At date of writing this article, only a few banks offer 100% home loans, FNB home loans being one of them. This has however never disappeared because affordable housing of less than R450k has always been able to get up to 104% bonds.

You must realize that, depending on which bank you approach, a deposit of between 5-10% (FNB Home Loans offers a 100% bond) of the purchase price and you must still cover the legal fees.

If you buy a house for R950 000 this could add up to +/- R90 000 which is quite a large of money if you weren’t aware of it.Always ask as many questions as possible and get a written quotation from the attorneys on what the total cost would be so that you know where you stand.