Document that provides the essential financial and other information about the borrower on which the lender bases the decision to lend. … A loan applicationentails neither a pledge by the applicant nor a commitment by the lender. Also called credit application.
A loan application is used by borrowers to apply for a loan. Through the loan application, borrowers reveal key details about their finances to the lender. The loan application is crucial to determining whether the lender will grant the request for funds or credit.