Credit Investigation
Updated: 23 October 2024
What Does Credit Investigation Mean?
A credit investigation is a process conducted by a financial institution to assess a potential client’s ability to repay a loan. If the client does not pass this assessment, the loan application will be denied.
Insuranceopedia Explains Credit Investigation
When someone applies for a loan from a bank or another financial institution, they are required to provide details about their financial history, such as their income, salary, and credit history. These details are then verified through a credit investigation, which may involve confirming the applicant’s income with their employer.
