A loan application is a formal request made by an individual or business to borrow money from a financial institution, such as a bank or credit union. The application typically requires personal information, including income, employment history, and credit score, to help the lender assess the borrower's ability to repay the loan. Once submitted, the lender reviews the application and may request additional documentation. If approved, the borrower receives the funds, which must be repaid over time with interest. Common types of loans include mortgages, auto loans, and personal loans.