Approve a Loan — Letter-Writing Tutorial


This letter may be friendly or formal, but should state the details of the transaction, including the amount, the interest to be paid, and the repayment requirements. Remember that the law treats consumer and commercial credit differently. Make sure any credit approval complies with applicable state and federal laws. Consumer credit, in particular, requires a variety of disclosures that are beyond the scope of this program. In cases where such disclosures are required, the letter you write would be only a cover letter discussing the general terms of the loan and referring to attached disclosure forms.


1. Inform the reader that the loan has been approved.


  • We are happy to grant you the automobile loan you applied for on June 4.
  • Your loan has been approved subject to the terms on the disclosure form.
  • I am pleased to inform you that your loan application has been approved.
  • Your application for a loan has been approved on the following terms:
  • It will be a pleasure to lend you the money you requested, and I have enclosed a check for $4,444.00.
  • I am glad to be able to respond favorably, and enclose a check for the amount you requested.


  • am pleased to grant you
  • am pleased to inform you
  • am willing to lend you
  • are able to lend you
  • enclosed is a check for
  • funds will be available to you on
  • has been approved
  • have approved your loan
  • loan has been approved
  • money you requested
  • on execution of a
  • the loan you applied for
  • want to let you know
  • will be a pleasure to
  • will be happy to lend you
  • wish to notify you
  • your loan application
  • your loan has been approved
  • your application for a loan

2. Discuss repayment terms.


  • As we discussed, the term of the loan will be eighteen months, with the first monthly payment of $444 due on February 1. The annual interest rate on the unpaid balance will be 12%.
  • Come in soon to complete the paperwork, and we will transfer the $15,000 directly into your account. The monthly payment will be $330, with an annual interest rate of 12%. The term of the loan is five years.
  • The term will be 60 days, and we will charge 3% interest with full payment due on or before April 30.
  • The funds will be available at 11% interest per annum upon your execution of a loan document.
  • The term will be 60 months, with interest accruing at 18% per annum.
  • Interest at a rate of 16% per annum will be paid annually before October 1 each year. The balance will be due upon the maturity of the note, October 31, 2009.
  • It would be great if you could start paying me back in June, but if that is not possible, please call to work out another arrangement.
  • I find the repayment terms you suggested quite acceptable.


  • according to the terms set forth
  • APR will be
  • at an annual interest rate of
  • balance will be due on
  • first payment is due on
  • funds will be available on
  • interest at a rate of
  • it's okay to pay
  • on the application form
  • payment will be due on
  • repayment period will be
  • repayment terms will be
  • start paying me back
  • subject to the terms of
  • unpaid balance will accrue interest at a rate of
  • will repay me by
  • will be compounded monthly
  • will transfer the amount directly into your account
  • with interest accruing at

3. Offer assistance or a friendly comment, if you wish.


  • Please call me if you have any questions.
  • We are happy to work with you on this project.
  • We are pleased to help supply the financial needs of our community.
  • If I can be of any further assistance, please call me at the bank.
  • You have always been willing to help me when I needed it, and I am glad to be able to give you a hand now.


  • always happy to
  • am happy to work with you
  • am happy to be able to
  • are pleased that you chose us
  • glad to be able to
  • have always been willing to help
  • have always been there for me
  • have always considered you
  • if I can be of further assistance
  • if you have any questions
  • my turn to help you
  • please call me
  • please keep me up-to-date on the progress of
  • to assist you in this matter
  • to give you a hand now
  • to supply the financial needs of
  • to help with such a worthwhile project
  • when I needed help
  • wish you all the best
  • wish you the best of luck

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