Banking Domain Interview Questions

1.Not investigating all your options:

This is probably the biggest mistake in all domains, not only in finance. Many people use credit unions for loans, while others find good deals from their local banks. The key is to investigate all potential lending options, and by by this I mean ALL. I remember I used to read about every information related to
this, including internet reviews for a whole year before taking the decision! Several sites, such as LendingTree.com, E-Loan.com and Amortization-Tools.com will help you make financing comparisons and calculate the best loan you can afford.

2.Not using an mortgage loan calculator:

Not using an mortgage loan calculator with amortization schedule table to see exactly how you stand and what you can afford could be again one of the biggest mistakes you ever did, and believe me, I’m not saying that just because I own this website.

3.Making verbal agreements:

If you’re asked to sign a document containing instructions contrary to your verbal agreements, don’t! The written contract will override the verbal contract.

4.Signing documents without reading them:

Whenever possible, review in advance the documents you’ll be signing. (Even though some specifics of your transaction may not be known early in the transaction, the documents you’ll sign are standard forms and are available for review.) It’s unlikely that you’ll have sufficient time to read all the documents during the closing appointment.

5.Failing to negotiate the loan:

Be careful not to fail the negotiation of the prepayment penalty or a proper interest rate lock. Never believe the lenders when they say that there are some standards and you can not negotiate. Remember, always try to negotiate! You will give them a lot of money, so they will be happy to negotiate if they see you are about to go to another company.

6.Not determining what you can comfortably afford:

Unlike a home mortgage, in which people look long and hard at what they will be able to pay over the next 10 to 30 years, car buyers do not always take such payments into careful consideration. “It is only for three years” is a familiar excuse for not evaluating the impact of such payments on your budget. Before taking any kind of loan, you need to consider how much money you can put down, and how much you can afford to pay on a monthly basis.