Credit-approved

The status granted to an individual, business, or entity, signifying their eligibility for credit based on a favorable assessment of their financial history, creditworthiness, and ability to repay borrowed funds. This determination is made by lenders, such as banks or credit card companies, after evaluating factors including credit score, debt-to-income ratio, payment history, and available assets. credit-approved status often results in access to loans, credit cards, and lines of credit with favorable terms, such as lower interest rates and higher credit limits.

Credit-approved meaning with examples

• After diligently building a strong credit history, Sarah was thrilled to receive a 'credit-approved' status notification from her bank, allowing her to apply for a mortgage to purchase her first home. This milestone was a result of years of responsible financial behavior and on-time payments.
• The small business owner submitted a detailed loan application and supporting financial documents. Following a thorough review, the bank informed him that his business was 'credit-approved', enabling him to secure the necessary funding to expand his operations and hire more employees.
• During the car-buying process, the dealership pre-approved the potential buyer for financing. However, the final decision was ultimately 'credit-approved' pending a formal credit check to confirm all information, including the down payment to finalize the deal.
• Upon applying for a new credit card, John received immediate notification that he was 'credit-approved', however, the actual credit limit offered depended on his detailed credit profile and past payment behavior on other lines of credit.
• The rental application was initially pending. Following a positive review of the prospective tenant's credit report and rental history, the property management company deemed the individual 'credit-approved' and offered a lease agreement.