Can You Get Loans for Self Employed?
There are a lot of lenders who will ask to see your recent paystubs whenever you start to apply for a loan and this is a problem for all those who are self-employed. But dont fret as there are lenders who are being considerate of their clients position. Needless to say, the more options you know together with how the procedure is done and what documentation is needed, the higher the chances of getting an approval.
You can even go for a standard personal loan assuming that you were able to meet the eligibility requirements but if not, you may opt for a cosigner loan. Here, this enables you to apply for a loan with another person who seems to have stronger and better qualifications. Depending on the lender, you might be required to put collateral as a security for the loan you plan to apply.
When it comes to the documents you have to provide, the first thing that you should do is check the lenders eligibility criteria to ensure that you can provide the docs and at the same time, show proof that you are receiving stable income, which is extremely important. In most cases, the lenders would need you to submit any or all documents below.
Number 1. Tax return for tax return, the best thing you can do is provide the last couple of years of your company and full personal tax returns. These are important for it proves income youve declared to your application.
Number 2. Financial statement for this one, it might include any loss statements and profit, which is also used to support your declared income.
Number 3. Proof of rental income if youre receiving income from rental properties, then you might need to declare this too by using real estate statements or even copies of the executed lease agreements.
Number 4. Latest bank statements this will include the statement showing your transactions and savings. It might even include statements that shows credit cards or other outstanding loans that you have with other lender.
Number 5. Company specific info if you do own a business, then you must be prepared to provide info like EIN of your company, address and so forth.
Number 6. Personal identification for this one, it is going to depend on the lender that youre talking to but expect them to ask you if you have passport, state ID or drivers license. Well, you either have to make a photocopy of your ID and fax it to the lender or you may scan it and attach it to your online application.