Self Employed Loans
If you are self employed getting a loan for what ever purpose can sometimes be difficult. If your company is new, you have no audited accounts, you rely on commission or bonuses, or you are a contractor then it can be difficult to prove your income. Many high street lenders methods of certification are such that you will be automatically denied approval for any of their lending services and this can be frustrating to say the least.
If you are self employed most companies will ask that you have more than three years audited accounts and bank statements to prove your actual income from the company. Often when you require a loan you simply don't have these components as proof and your income may be a lot higher than you can actually prove.
There are a number of companies in the UK that specialise in dealing with people who are self employed or who have difficulty proving their income. Often these loans do require that you are a home owner as many of them work on a secured basis. This provides them with the security they need in replacement for the certification they would normally get from people who are employed.
Lenders will ask to see accounts, statements, invoices or they may ask to see contracts that have been signed up or renewed with a certain period. What ever your position and what ever amount of proof you have you should still be able to find a loan to suit your purpose.
In today's loan market there are many companies that will loan to people who in the past would never of been able to apply. Interest rates and the amount you are allowed to borrow will vary right across the board. If your credit history is less than perfect you may have further difficulties in finding a loan, however I'm sure that there is a company out there who will loan to you and not charge the earth. The beauty of the internet is that it is now so much easier to seek out these companies and compare their rates.
Some lenders are more realistic then others when assessing your income and expenditures and some will require more certification for their financial products. You should not have to settle for high interest rates when taking out a loan as a self employed person and you should shop around to get the best deal.©MoneyHighStreet.com