What can you do if your home loan is denied?

If your home loan is denied, there are several steps you can take. First, talk to your loan officer to get a clear reason for the denial.^[1] Depending on the reason for the denial, there are different actions you can take. For example, if your application was denied due to your credit rating, it's important to take action to improve it. You can immediately increase your credit score by setting reminders for when your monthly payments are due and setting up automatic payments directly from your bank account.^[4] If you were denied due to a high debt-to-income ratio, you can make a plan to reduce it.^[3] Additionally, examine your credit report for any errors that may have caused the denial.^[2] Finally, consider waiting to reapply until your credit score has improved, as a mortgage application usually involves a credit check, which can lower your score.^[1]