Meetings with Banks & Financial Institutions
- Loan approval: Before the loan disbursement process can begin, the loan application must be approved by the lender. This involves reviewing the borrower's credit history, financial documents, and other relevant information.
- Signing loan agreement: Once the loan is approved, the borrower must sign a loan agreement that outlines the loan amount, interest rate, repayment schedule, and any other terms and conditions.
- Verification of documentation: The lender will verify the borrower's documents, including identity proof, address proof, income proof, and other relevant documents.
- Disbursement request: After the verification of documents, the borrower must submit a disbursement request to the lender, stating the loan amount and other relevant details.
- Loan disbursement: Once the lender approves the disbursement request, the loan amount is transferred to the borrower's account. The lender may disburse the loan amount in full or in installments, depending on the loan type and the lender's policies.
- Repayment: The borrower is required to repay the loan amount as per the repayment schedule outlined in the loan agreement. The borrower must make timely payments to avoid defaulting on the loan.
- In summary, loan disbursement is the process of transferring the approved loan amount from the lender to the borrower's account. The loan disbursement process involves loan approval, signing the loan agreement, verifying documents, submitting a disbursement request, loan disbursement, and repayment.