Business of Men

Getting loans: how men and women do it differently


When it comes to getting loans, there is a multitude of different variables at play.

From the nature of the loan itself and the purposes to which the credit will be put, to the specific demands of each individual lender, and the status of the wider financial markets, there is an abundance of factors that affect success in getting loans.

But is the gender of the person getting loans one of them? There has been an extensive amount of research conducted into the spending and planning habits of males and females, which can help to shed some light on the question of whether women do, in fact, choose lenders differently.

Getting loans: the gender difference

Here’s a rundown of some of the major discrepancies between the two in successfully getting loans.

Risk aversion

There is a significant body of evidence that suggests that women are more naturally risk-averse than men when getting loans. According to the findings of one recent study, this could go some way to explaining why on average, women accrue lower levels of personal wealth than men across the entire population. He who dares wins; she who doesn’t dare loses.

With that in mind, there is reasonable cause to assume that women would be less likely to take out a personal loan predicated upon bettering their social position than their male counterparts. Of course, that doesn’t ring true for every individual and there are countless examples of inspiring female go-getters who have bucked the trend, but generally speaking, women will err on the side of caution when it comes to getting loans and across the board on financial matters.

Surveying the market

Whether man or woman, it’s imperative that anyone applying for a loan for any purpose invest time to compare the best personal loans for their unique circumstances. The terms of a deal can fluctuate quite significantly depending on the lender, the loan, and the loanee, so it’s important to scour the market and survey the available options before making a decision.

In this regard, women are apparently better equipped to ask sensibly when getting loans than men. Whereas males may often rush into an agreement or simply plow ahead with the first lender they come across, women will spend more time browsing the options and weighing up the pros and cons.

There is a school of thought which states that this stretches back to our prehistoric days when men would be compelled to act quickly to hunt prey, while women could take their time foraging for resources. Whether that’s true or not is unclear, but the pronounced prudence of women appears to be factual.

Acumen and confidence

Despite the progress made towards gender equality in recent years, it’s still a depressing truth that there remains a clear gap between financial literacy between men and women. In 2017, the World Bank reported that 9% fewer women than men had access to a bank account, which is one of the most fundamental resources in the entire financial world.

Of course, that statistic doesn’t ring true for more progressive parts of the planet, but the fact remains that men have more experience in money matters on a global scale. This, aligned with the male trait of self-confidence, means they are more likely to seek out credit deals and take on more debt when getting loans than their female counterparts.

5 reasons for failure in getting loans

Success in getting loans has become part of the goals of millions of entrepreneurs in the country, who want to strengthen their business, recover from scenarios of financial crisis and, consequently, preserve jobs and the legacy of their companies; or even to boost organizational growth, invest in machinery purchase and digital transformation that today moves the market.

No wonder, the Central Banks around the world predict that by the end of the year, the credit market should grow 8%, thanks, among other things, to government measures to encourage credit and support companies in the context of social isolation.

Within this scenario, you will hear many entrepreneurs with the following question: what are the reasons why a bank does not accept my applications for getting loans? What strategies can I take to succeed in obtaining credit? To answer this question, we prepared a very objective checklist, with the five main reasons for refusals of applications for getting loans.

Lack of guarantees

The provision of guarantees according to the amount of credit that the company needs is an essential and indispensable step to succeed in obtaining corporate loans from banks.

From there, institutions evaluate which credit lines and amounts of capital can be provided to a company that has a consistent degree of security and delinquency, Seixas reports.

Financial restrictions

It seems obvious, but the person or company cannot have financial restrictions that prevent the release of credit. As much as many organizations seek loans to balance the cash flow of their business, it is important that this step is taken in a planned way when getting loans. From the moment there are more severe restrictive in the market, the attainment of credit becomes impractical.

Financial profile

The financial profile may not match the lines of credit and financial options offered by a particular banking institution. Therefore, it is very important to map the different credit solutions available on the market. Having the support of experts who can outline credit intelligence strategies can maximize the chances of success in the relationship with lenders when getting loans.

Low credit score

The credit score is a statistical model used by financial institutions to evaluate the default potential of individuals and companies in the process of getting loans and other financial solutions. In summary, the three previous factors combined generally contribute to whether or not to achieve the minimum percentage – or score – to achieve success in getting loans.

Economic environment

Finally, the economic environment is another factor considered by financial institutions before releasing credit.

Taking into account the other criteria, it is essential that the entrepreneur or borrower considers that the search for resources should be planned and based on intelligent strategies, which allow the entrepreneur to access advantageous credit opportunities, and which do not compromise the financial balance of the business in getting loans.


Men and women differ in many different ways – and their attitude to financial credit is just one of them. But both genders should follow the practical strategies for success.

About Business Woman Media

Our women don’t want to settle for anything but the best. They understand that success is a journey involving personal growth, savvy optimism and the tenacity to be the best. We believe in pragmatism, having fun, hard-work and sharing inspiration. LinkedIn

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