A loan application is a formal request submitted by an individual or business to borrow money from a financial institution, such as a bank or credit union. This document typically includes personal information, financial details, and the amount of money requested. The lender uses this information to assess the applicant's creditworthiness and ability to repay the loan. Once the loan application is submitted, the lender reviews it and may request additional documentation, such as proof of income or employment. After evaluating the application, the lender decides whether to approve or deny the loan, often communicating the decision within a few days to weeks.