Applying with Multiple Lenders

If one application might get you a loan, two will give you twice as much chance, right? Well, maybe. When applying for a loan, there may be a temptation to apply with a bevy of lenders all at the same time. This can be problematic for a few reasons. First off, the lenders are going to see you are doing this when they pull your credit report and see a bunch of other lenders pulling your credit. This will, of course, cause a delay while you explain to the lender what you are doing and wait to see the response of the lender. It probably will not be great. The second problem is you are going to spend a bunch of money taking this approach. Lenders charge application, appraisal and other fees, so multiple applications will cost you thousands of dollars. All and all, applying to just one lender is usually the best way to go unless you have a specific reason for trying for multiple applications.