At Mynt AB, our top priority is to offer fair and sustainable lending. We want to ensure that all our customers have the ability to repay their credit without facing financial difficulties. Below, we explain why we sometimes need to decline a credit application and how we differ from other players in the industry.
We Base Our Credit Assessments on Repayment Ability
Unlike some other lenders who factor in that a certain percentage of their customers will be unable to repay their credit – and therefore charge high fees to cover these losses – Mynt focuses on responsible credit assessment. Our goal is to only grant credit to businesses that have the financial capacity to repay their debt.
Deficiencies in Payment Ability or Cash Flow
When we decline a credit application, it is often because our analysis of bank data shows that the business may have difficulties repaying the credit. Factors such as low revenue, irregular cash flow, or high existing debt can influence the decision. Our ambition is to avoid putting our customers in an unsustainable financial situation.
A Fair and Transparent Lending Approach
Some financial industry players charge high fees and interest rates to compensate for customers who cannot repay their debts. At Mynt, we believe in a transparent and fair model where we offer low-risk credit with reasonable terms. We strive to build long-term relationships with our customers and contribute to their financial stability.
How to Improve Your Chances of Getting Credit
If your credit application is declined, it does not mean that you will never be able to obtain credit from us. Here are some actions that can increase your chances in a future application:
Improve your company’s cash flow by reducing unnecessary expenses and increasing revenue.
Pay off existing debts to improve your debt-to-income ratio.
Build a strong financial history by maintaining good control over your company’s finances.
Conclusion
We decline credit applications when we see that the repayment ability is not strong enough to ensure responsible lending. Unlike other players in the industry who factor in customers’ inability to pay and charge high fees, we strive to offer fair and sustainable credit. If your application is denied, you are always welcome to strengthen your financial situation and apply again in the future.
Do you have any questions or concerns about your credit application? Feel free to contact us, we are happy to assist you!