Many clients have written in and asked us: ”can you get a car loan with no proof of income?” It’s a bit difficult to answer this question without a few more details. It’s very important to know why you do not have proof of income, and what your credit score is.
Self-Employment Income? Seasonal Work?
In the event that you do not have proof of income because you are a contractor of some kind – therefore, self-employed – you should have proof of past income such as tax returns to offer instead of the more traditional paystub. Many lenders will also consider a history of bank statements showing your income. Best case scenario is that you have had a fairly steady stream of income for the last three years. That may sound like a long time, but lenders consider 1099 income a much greater risk than W2 income.
Credit History as a Deciding Factor
Next, your credit history and score will play a very important role. If your score is above 700 and you have a solid repayment history, you will find getting an auto loan without proof of income much easier. On the other hand, if it is sub-700, you may have to consider a secured loan in order to get the vehicle that you need. Generally, bad credit in and of itself is not a deal-breaker; however, when you add no proof of income to the mix, things get exponentially more difficult.
In both instances, you will have the best chance of being approved for a used vehicle, and if you have at least twenty percent of the purchase price as trade or down payment. Be sure to shop around, including online, to find the best lender and terms for your new loan. Of course, please consider submitting your application with us. We have a long record of helping people traditionally regarded as high credit risks get into the vehicle they need.