Low doc loans are highly praised these days by the self employed, freelancers and seasonal workers. It is no secret that major banks ask for a number of documents to prove that you are able to pay your loan. During application, they require pertinent documents such as financial statements, inventory, business permit, cash flow, collateral and other documents to prove that you have the capacity to pay. Most often this would result as a denied loan because of insufficient documentation.
This is not quite fair to individuals who own a business or works as a freelancer. They may have the capacity to pay but banks don’t see it unless you submit a bulk of documents that they ask for. These documents are not acquired for free and you have to allocate a certain amount from your own money, not to mention time and effort to be able to produce these documents. This is crucial if you need the money badly.
Low Doc Loans
Low doc loans are mostly considered by individuals who do not have enough documents. This type of loan requires a minimal amount of documents unlike what most strict banks require. Generally, low doc loans require the following: ABN, a duly signed borrower’s income declaration, your registered business name, and your recent business activity from the past 12 months. This is ideal for business owners who are in need of immediate funding to finance their business. Some of the available types of loans are: low doc or no doc personal loans, low doc car loans, low doc business loans, low doc home loans and low doc investment loans.
Do you often experience loan rejections by major banks or traditional lenders because of failure to submit supporting documents? Then low doc loans are your best possible option.
It doesn’t matter if you are a temporary worker, as long as you can provide proof that you have a consistent income, then you are a perfect candidate to apply for low doc loans. You can also secure your loan with a property; in return you can apply up to 80% of the property’s value. This is just an example of a possible restriction that you may encounter if you apply for low doc loans.
How much can you apply for? Most low doc loan applications are fast and easy to access online. Through the click of a button or via a short phone call, your loan application will be processed immediately after you submit the minimal required documents. Mainly it will require proof of a consistent income. You may be pleasantly surprised to see your low doc loan approved and available in your account within a few hours.