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Most lenders promise quick decisions, but they will still need to carry out a variety of checks to make sure you are eligible for a loan and to enable them to decide what interest rate they can offer you.
Their first step will be to check your credit record at one of the big credit reference agencies. This will tell them whether you have had any previous debt problems and enable them to generally assess your credit standing. When a lender carries out a credit search, details of their search are left on your credit record. So if you have applied for a loan and have been turned down, other lenders who search your credit file, will be aware of that fact.
With most lenders, their credit checking procedures are fully computerised and so they can arrive at a decision in principle with moments. They may also request additional information from you such as pay slips, proof of identity, mortgage documentation etc. However, final confirmation of your loan offer will be subject to the lender receiving the documents from you which will be required to verify the information you have provided and, if your loan is to be secured, they will have to conduct a Land Registry search to confirm that you are the legal owner of the property. This search will also identify which other lenders, such a mortgage company, have debts secured against the property. So the key to getting quick loans is really just as much dependent on how quickly you respond to your prospective lender's communications as it is on their own procedures.
Most unsecured loans can be arranged in days but unsecured loans usually take a few weeks as the paperwork is much more complex.
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