Keeping your documents in order on the front end can save you from the future headache of digging around for important files when applying for loans. The more organized you are, the smoother and quicker the approval process can be.
Start by categorizing your documents in a way that makes the most sense for you — whether by year, account, family member, or document type. Once you’ve chosen a system, label your folders clearly and file documents accordingly.
Go digital whenever possible. Scan or save electronic copies of your paperwork and organize them in secure, password-protected folders. Just as important, make sure to establish a backup. Storing your files in the cloud or on an external server is affordable and essential. If your computer crashes, you’ll want to have a reliable backup in place to avoid losing critical information.
