Course Name: AB003-Applying for a Loan-the 5 C's of Borrowing  

This class does not revisit the record keeping assignment, but students should remember to keep track of their cash flows. Also try to answer any questions that may come up while they are trying to compile their budget. Cash flows and budgets will be referred to in later modules. This class addresses the factors that lenders take into account when approving loan applications. Understanding what a lender is looking for in a borrower can help potential borrowers increase their chances of being approved for a loan, or obtaining a better interest rate. 1. Qualities Banks and Lenders Look for in a Borrower 2. Sources of Money 3. Terms and Conditions of a Loan 4. Personal Information Required for Loan Application 5. 5 C’s of Borrowing 6. Basis of Loan Approval Students should keep track of their cash flows and budgets; if they have an accurate budget they may find that applying for a loan is not necessary. Instead, they can cut frivolous expenses and save to buy the things they want. If applying for a loan is necessary, they already have an idea of where they stand in the eyes of a lender. Questions? Email Trent Teegerstrom at tteegers@ag.arizona.edu.