As a loan officer at a bank, there are several criteria that I would use when evaluating a 24-year-old's application for a $20,000 auto loan. Some of these criteria include:
Credit score: A person's credit score is a key factor in determining their ability to repay a loan. A higher credit score indicates a history of responsible borrowing and is more likely to result in loan approval.
Income: A person's income is also important when determining whether or not to approve a loan. The applicant should have a stable income that is sufficient to cover the loan payments in addition to their other expenses.
Employment history: A stable employment history is another important consideration. The applicant should have been employed for a reasonable period of time and have a good history of employment stability.
Debt-to-income ratio: The applicant's debt-to-income ratio is an important measure of their ability to repay the loan. The applicant's total debt payments should not exceed a certain percentage of their income.
Collateral: As this is an auto loan, the car the applicant is buying would act as collateral, and its value will be evaluated to assess if it will be able to cover the loan in case of default.
Repayment history: If the applicant has a history of repaying loans on time, it is more likely that they will be approved.
Purpose of the loan: The purpose of the loan should be reasonable and achievable, and the car should be necessary for the applicant's daily activities.
Down payment: A significant down payment can decrease the risk of loan default and increase the chances of loan approval.
By evaluating these and other factors, I would make an informed decision on whether or not to approve the loan application.