If you are unable to complete the traditional full documentation loan process or you are looking for a streamlined alternative, you may be interested in our bank statement loan program.
With a bank statement loan, you do not need to prove your income using a W-2 or pay stubs. You furnish bank statements instead to demonstrate that you are financially viable.
Have questions about bank statement loans? Below, you can read through a brief bank statement loan FAQ for answers.
Q: Who can use a bank statement loan?
A: Anyone who is unable to apply for a loan with the traditional income paperwork is welcome to apply for a bank statement loan. That could include business owners, entrepreneurs, freelancers, and self-employed persons.
Investors of all stripes can also apply for bank statement loans. Doing so may be particularly useful if you invest in real estate, as you not only can get around the traditional paperwork, but also close more rapidly through the streamlined process.
Q: What do I need for a bank statement loan?
A: When applying for a bank statement loan, you do not need W-2 forms or pay stubs.
What you do need is a bank statement. Usually, this should cover 12-24 months. This becomes your proof of income.
Along with the bank statement, you need to provide verification of your identity. So, bring your social security card, driver’s license, or other identification card.
Something else you may want to bring is proof of any assets you own which could improve your borrower profile.
Finally, your credit score will be considered alongside your income and DTI ratio. So, make sure that your score is polished before you apply.
Q: Does it take longer to apply for a bank statement loan?
A: No. Actually, oftentimes, the reverse is true. It can take less time to apply for a bank statement loan since there is less paperwork to process.
Q: Is a bank statement loan different from a stated income loan?
A: A “stated income loan” typically refers to a bank statement loan. Lenders always are going to want to see some kind of proof of income, even if it isn’t with the traditional paperwork.
Q: Are bank statement loans safe and responsible?
A: Nowadays, bank statement loans are very safe. Again, the days of lenders not looking at proof of income at all are behind us. So long as a lender checks your income and you also carefully evaluate whether you can afford a mortgage, you should be good to go.
Apply for a Bank Statement Loan in Dallas Now
You probably have additional questions about bank statement loans which we may not have answered here. If that is the case, we would love to give you detailed answers during your bank statement loan consultation.
To get started, please give us a call now at (214) 669-3307. We look forward to meeting you during your consultation and walking you through the bank statement loan process.