When a client applies for a loan, we ask them to produce various documents so that they can process their request.
Indeed, we are required to justify the identity of the people participating in the loan, to verify their repayment capacity as well as the purpose of the loan, and finally to determine whether additional guarantees or guarantors are necessary.
First, we need documents that allow us to identify the person or people who will participate in the credit transaction (holder or holders, guarantors, etc.).
In Andorra, the main piece of identity is a passport, both for individuals from Andorra and for foreigners. Foreign residents must also produce their Andorran residence and work permit, as well as the identity card or passport of their country of origin.
Supporting documents for the purpose of the loan
To study the financing operation, we also need documents justifying that the money will be used for a specific purpose. The aim is to ensure that the good or service to be financed corresponds to the purpose of the loan requested from the range of Cream Bank financing products.
The applicant will be invited to produce various supporting documents depending on the loan requested (promise to sell a property, binding offer, proforma invoice, preliminary contract or quote).
Documents required to study the repayment capacity
To find out the debt capacity of applicants, we need documents to identify and justify recurring income and costs. In this way, we can assess the repayment capacity of the loan and determine the maximum amount that can be granted to the client.
In order to prove the applicant’s income, we need the salary slip for the last three months as well as an updated CASS point statement.
If the applicant plans to receive other exceptional income, he can produce the corresponding supporting documents so that these income are taken into account in the calculation of his repayment capacity (for example, the deposit contract for the sale of a home or a rental contract) .
Regarding costs, the applicant must produce supporting documents for the accommodation (rental contract, mortgage, etc.), invoices paid by direct debit and other possible recurring costs.
If he works on his own account, he must bring additional documents concerning his economic activity and his tax declarations.
When the applicant is a new customer, that is to say that the account is opened for the loan request, he must also produce a statement of the position and movements of his account over the last three months established by the bank with which he usually deals .
Finally, we will also need a declaration of assets signed by the applicant, stating their family situation (marital status, dependent minors, etc.), income from the family unit, their assets (buildings, titles, account balances, etc.) as well as its obligations (debts held with credit institutions).
Supporting documents relating to guarantees and guarantors
Depending on the type of financing transaction and the repayment capacity of the loan holder (s), they may have to present additional guarantees, such as mortgage on property, pledging of securities or a guarantor. In the event of a mortgage guarantee, the deposit contract and a recent appraisal of the property must be produced. Guarantors must provide supporting documents similar to those requested from holders. Indeed, as subsidiary debtors, the guarantors should assume the debt in the event that the holders cannot honor their payment commitments.
Remember that at Cream Bank, we want to help you realize your dreams. We provide you with a wide range of loans and mortgage loans. We can finance all kinds of projects, from the acquisition of housing to the purchase of a car, through assistance in financing the university studies of your children.