Lenders typically consider several factors when determining an individual's eligibility for a loan. These criteria may vary depending on the type of loan, the lender's policies, and the specific financial circumstances of the borrower. Here's a general overview of the key factors lenders commonly look for:

1.       Credit Score: One of the most important factors is the borrower's credit score. This is a numerical representation of an individual's creditworthiness based on their credit history. Lenders use this score to assess the likelihood that the borrower will repay the loan on time. Higher credit scores generally indicate lower risk to lenders.

2.       Income and Employment History: Lenders typically evaluate the borrower's income level and stability of employment. A steady income stream demonstrates the ability to repay the loan. Employment history, particularly longevity with a single employer or in the same field, can also positively impact loan eligibility.

3.       Debt-to-Income Ratio (DTI): This ratio compares the borrower's monthly debt obligations to their gross monthly income. Lenders use DTI to assess the borrower's ability to manage additional debt payments. A lower DTI ratio indicates that the borrower has more disposable income available to cover loan payments.

4.       Financial History: Lenders may consider the borrower's financial history beyond just credit scores, such as past bankruptcies, foreclosures, or delinquencies. A history of responsible financial behavior can strengthen loan eligibility.

5.       Collateral: For secured loans, such as mortgages or auto loans, lenders may require collateral. Collateral serves as a guarantee for the loan, reducing the lender's risk. The value and type of collateral can affect the loan amount and terms offered.

6.       Loan-to-Value Ratio (LTV): For secured loans, lenders evaluate the loan amount in relation to the appraised value of the collateral. A lower LTV ratio indicates less risk for the lender, as the collateral provides greater security against potential losses.

7.       Down Payment: Particularly for large loans like mortgages, lenders often require a down payment. A higher down payment reduces the loan amount and decreases the lender's risk. It also demonstrates the borrower's financial commitment and ability to save.

8.       Loan Purpose: Lenders may consider the purpose of the loan when assessing eligibility. Some types of loans, such as student loans or small business loans, may have specific eligibility criteria based on intended use.

9.       Residency and Citizenship Status: Lenders may require borrowers to be residents or citizens of the country where they're applying for the loan. Non-citizens may need to provide additional documentation to verify their residency status.

Age and Legal Capacity: Borrowers must typically meet the legal age requirement to enter into a loan agreement. Additionally, they must have the legal capacity to contract, meaning they're mentally competent and not under duress or undue influence.