What are the application materials and procedures for a pledge loan?

Pledge loan refers to a type of loan in which the borrower or a third party uses movable property or rights as pledge to obtain a loan. Pledge loans are currently also one of the loan types chosen by many borrowers. So what are the application materials for a pledge loan? And what is the procedure for a mortgage loan?

Pledge loan application information:

1. First, the borrower needs to fill in a pledge loan application form.

2. The borrower and the pledger need to provide a financial statement for the latest period.

3. The borrower also needs to hold a meeting with the board of directors of the pledgor to discuss.

4. The pledgor needs to issue a letter of commitment regarding credit guarantee.

5. Proof of ownership of the pledged property is required.

6. A pledge value evaluation report issued by an asset evaluation intermediary agency recognized by the bank is required.

7. A repayment plan and detailed description of the repayment source are required.

8. A business contract regarding the purpose of the loan is required.

What is a pledge loan? The procedure for a pledge loan:

1. Sign a subscription letter: The customer signs a subscription letter with the real estate development company that has signed a contract with the bank and submits the application to the real estate development company. The company pays the first installment of the house purchase payment;

2. Application: The customer goes to the law firm entrusted by the bank to handle the mortgage application procedures, including submitting personal information, paying various fees, and filling in legal documents;

3. Payment review: The law firm will conduct a preliminary review of the customer's application, and then the bank will review it; if the review fails, the customer information and fees collected will be refunded;

4. Other legal procedures : The law firm handles insurance, notarization and mortgage registration and filing;

5. Loan issuance: The bank transfers the loan amount to the developer's account and notifies the customer to start paying for the property.