Loan standards refer to the criteria used by lenders to determine whether or not to approve a loan application. These standards typically include factors such as the borrower's credit score, income, debt-to-income ratio, and employment history. Lenders use these standards to assess the risk of lending money to a borrower and to ensure that they are likely to receive repayment of the loan. The standards may vary depending on the type of loan, the lender's policies and the borrower's financial situation.