Car Loans for the self-employed
- by Rahul Basu
- May 11, 2012
- Views : 2274
Obtaining bad credit loans isn't uncommon in the self-employed applicant circles, primarily due to the fact that they cannot show an undoubted proof of income
Whether approaching a second hand car dealer or financial body directly, the eligibility for obtaining an auto loan as a self-employed individual is almost identical to a salaried one. As long as you above 21 years of age, have worked in the same line of business for 2-3 years and have all your authorized signatory documents in place, like a Passport copy, Voters ID Card, Photo driving license etc. your shot at getting an auto loan is as good as any other.
However, obtaining bad credit loans isn’t uncommon in the self-employed applicant circles, primarily due to the fact that they cannot show an undoubted proof of income and thus need to resort to stated income loans. There are not many ways around this issue without a co-signer or collateral. A co-signer with a good credit score can be the solution or else, you can resort to applying for a secured loan instead of an unsecured one, using a property as collateral.
Where actual documentation for a regular bad credit loan is concerned, the process is fairly simple. Self-employed individuals need to show proof of their income and since you are self-employed, you have no paycheck copies or receipts.