pre-approval
Preliminary green light
Pre-approval is preliminary authorization, typically from a lender, indicating you qualify for a loan up to a certain amount before you've selected a specific purchase.
Most common in mortgages and credit cards: Get pre-approved before house hunting.
Pre-approval carries more weight than prequalification, usually involving a credit check and income verification, though it's not a final commitment to lend.
One who loans money
- borrowerOne who takes temporarily
- loanBorrowed money repaid later
- prequalificationPreliminary eligibility assessment
- credit scoreNumerical measure of borrower reliability
debt-to-income · interest rate · homebuying · underwriting · letter · offer · budget · affordability
Borrowed-funds payment tool
- applicationFormal request document
- creditworthinessAbility to repay debts
- income verificationConfirming stated financial earnings
- issuerOne who distributes officially
cardholder · APR · credit check · conditional · instant · online
Contractual risk coverage
- authorizationFormal permission granted
- procedurePrescribed sequence of actions
- coverageExtent of inclusion
- claimStatement of ownership or truth
referral · prior authorization · denial · appeal · treatment · medication · formulary · provider
Evaluating suitability through investigation
- clearancePermitted passage or approval
- screeningEvaluative selection process
- background checkInvestigation of someone's history
- eligibilityState of meeting criteria
verification · documentation · review · process · application
lender
One who loans money
- borrowerOne who takes temporarily
- loanBorrowed money repaid later
- prequalificationPreliminary eligibility assessment
credit score · debt-to-income · interest rate · homebuying · underwriting · letter · offer · budget · affordability · down payment
credit card
Borrowed-funds payment tool
- applicationFormal request document
- creditworthinessAbility to repay debts
- income verificationConfirming stated financial earnings
issuer · cardholder · APR · credit check · conditional · instant · online
insurance
Contractual risk coverage
- authorizationFormal permission granted
- procedurePrescribed sequence of actions
- coverageExtent of inclusion
claim · referral · prior authorization · denial · appeal · treatment · medication · formulary · provider · healthcare
vetting
Evaluating suitability through investigation
- clearancePermitted passage or approval
- screeningEvaluative selection process
- background checkInvestigation of someone's history
eligibility · verification · documentation · review · process · application
- Home Buyingmortgage, downpayment, down payment, closing, closing costs
- real estatehouse, home, apartment, property, sale
- approvalsapproved, authorizing, certification, endorsing, endorsement
- car salescar dealership, car dealerships, dealerships, dealer, auto dealership
- mortgagesfixed-rate mortgage, mortgage broker, adjustable-rate mortgage, mortgage payment, mortgage insurance
- auto loansauto loan, car loan, loan amount, loan term, monthly payment
pre-approvalfinal approval
Authorization that concludes review
closing · finalization · firm commitment · settlement · funding
pre-approvalrejection
Denial of acceptance
denial · final approval · decline · disapproval · disqualification