Introduction
Including a Co-Applicant in the loan application process offers several advantages. It can increase the likelihood of loan approval, potentially qualify for larger loan amounts, and secure better terms. A Co-Applicant can provide additional security and combined creditworthiness, making the loan more attractive to lenders and enhancing the overall application strength.
Enable Co-Applicants
You can specify whether a Co-Applicant is required for certain loan applications. This is particularly useful for loans requiring additional security or when evaluating the combined creditworthiness of multiple applicants.
To enable a Co-Applicant, go to Settings → Application Process → Co-applicant and enable the “Use Co-applicant”.
Co-Applicant Management Settings
Once you’ve enabled the Co-Applicant functionality, the following settings will become available:
Label: Define the name used to address Co-applicants in the system UI.
Credit Bureau Check: Specify whether a credit bureau check should be run for Co-applicants.
Co-Applicant is Required: If enabled, submitting an application without Co-applicant details will be impossible.
Send a Copy of Loan-Specific Notifications to the Co-Applicant: If enabled, the Co-applicants will receive all loan-specific notifications that are enabled for the Main Applicants (Customers).
Co-Applicant Details in the Application Form
When the Сo-applicant functionality is enabled, their information becomes a part of the application form.
The section name will correspond to the Label setting defined for the UI (in the example, the word “Guarantor” is used).
If the information is mandatory, the full section will be displayed by default (instead of the “Add” toggle).
By default, the information in the section is the same as in the Customer Registration form, i.e. enough to identify the person and run the Credit Bureau check. Additionally, the “Relationship” dropdown is required.
Decision Rules Based on Co-Applicant Details: Define decision-making rules that incorporate Co-Applicant details. This allows for a more comprehensive risk assessment and tailored loan offerings based on the combined profiles of the primary applicant and the Co-Applicant.
Notifications for Co-Applicants: Enable notifications to keep Co-Applicants informed about the loan application process. This ensures that all parties are aware of application status updates, required actions, and important communications.
These features enhance the loan application process by allowing for more robust assessment criteria and ensuring that all involved parties are well-informed throughout the process.
This version emphasizes the benefits of having a Co-Applicant and provides a clear and structured overview of the feature's key functionalities.