how do lenders make loan decisions 
qualifying for a loan depends largely on the borrower s credit history the lender examines the borrower s credit report which details the names of other lenders extending credit current and previous the types of credit extended the borrower s repayment history and more the report helps the lender determine whether based on current employment and income the borrower would be comfortable managing an additional loan payment as part of their decision about creditworthiness lenders may also use the fair isaac corporation fico score in the borrower s credit report 3the lender may also evaluate the borrower s debt to income dti ratio which compares current and new debt to before tax income to determine the borrower s ability to pay 4