Behind every great wealthy person is a great bank. To be wealthy, you must have a good relationship with your banker. You will eventually need money to invest in your business, and bankers are the key to inexpensive money. All you have to do is pay yearly interest, which is usually offered at the most competitive rate available. If you go anywhere else for a loan, you're almost guaranteed to pay a higher rate. Therefore, you must make a habit of getting to know your banker.
Businesses need to borrow money to survive and be profitable. Banks needs to lend money to survive and be profitable. These are two things that never seem to change in the business world. However, there are so many people who got turned down for loans. This is because they don't understand how to borrow money from a bank. Bankers look for specific documentation needed before they can lend money. If you have the qualifications and know the documentation needed and how to present it, you should be able to borrow all the money you need.
What's the key to dealing with a bank? Good credit! The first thing you must have before you approach a bank is good credit. Establishing good credit is vital to the wealth-building process. How to do it? Borrow money and pay it back on time! Make this habit and never be late on a payment. The first thing a banker will want to know is how well you've done in the past regardign your ability to pay back loans on time. He finds out using a report called the credit history. This report will tell you (and your banker) about most of the loans you've had, as well as any late payments on bills or loans. Thus it is good to request for a copy before your banker does.
When your credit report arrives, review it carefully and look for anything that might be detrimental to your credit. If you see any discrepancies that might disturb your banker, write an explanation of your side of the story. Include all the facts, names and dates. When your banker sees the discrepancy, he'll also see the explanation, which might calm his fears.
If you cannot find a bank to loan you money after all the effort, find a family member or friend (with good credit) to co-sign the loan for you. This will enable you to re-establish your credit. Once you've paid off that loan without missing a payment, the bank will be more inclined to loan you money again.
Remember without a good credit record, you cannot borrow money to buy a car, home or anything without paying exorbitant interest rates. A bad credit rating gone unattended will kill your chances of building wealth.
Businesses need to borrow money to survive and be profitable. Banks needs to lend money to survive and be profitable. These are two things that never seem to change in the business world. However, there are so many people who got turned down for loans. This is because they don't understand how to borrow money from a bank. Bankers look for specific documentation needed before they can lend money. If you have the qualifications and know the documentation needed and how to present it, you should be able to borrow all the money you need.
What's the key to dealing with a bank? Good credit! The first thing you must have before you approach a bank is good credit. Establishing good credit is vital to the wealth-building process. How to do it? Borrow money and pay it back on time! Make this habit and never be late on a payment. The first thing a banker will want to know is how well you've done in the past regardign your ability to pay back loans on time. He finds out using a report called the credit history. This report will tell you (and your banker) about most of the loans you've had, as well as any late payments on bills or loans. Thus it is good to request for a copy before your banker does.
When your credit report arrives, review it carefully and look for anything that might be detrimental to your credit. If you see any discrepancies that might disturb your banker, write an explanation of your side of the story. Include all the facts, names and dates. When your banker sees the discrepancy, he'll also see the explanation, which might calm his fears.
If you cannot find a bank to loan you money after all the effort, find a family member or friend (with good credit) to co-sign the loan for you. This will enable you to re-establish your credit. Once you've paid off that loan without missing a payment, the bank will be more inclined to loan you money again.
Remember without a good credit record, you cannot borrow money to buy a car, home or anything without paying exorbitant interest rates. A bad credit rating gone unattended will kill your chances of building wealth.
