Bank statement loans
Income read from what lands in your account, not from your tax return.
What it is
A tax return is written to work out tax, not to show a lender what a business brings in. Deductions that are entirely legitimate can leave a self-employed borrower looking like they earn less than they do. A bank statement loan takes a different route: it reads deposits over a set number of months and works an income out of what actually came in. Whether that route helps depends on your books. Tareq and his team run these for business owners across Northern Virginia.
Organize the standard document question first, then decide whether a bank statement loan is a separate product worth comparing.
Who it's for
- Business owners and contractors who write off a lot
- Borrowers whose deposits tell a fuller story than their return does
- Self-employed buyers turned down on a standard income check
The essentials
Deposits, not the bottom line
The lender reads deposits over a set number of months. How many months, whether business or personal accounts are used, and how deposits become an income figure are all set by that lender rather than by a common standard.
Keep the account clean
Moving money between your own accounts makes the review harder. So does mixing personal and business banking. Tidy records speed this up.
Compare the full cost
The income documents are different, but the rate, fees, cash needed and loan terms still matter. Put the whole offer next to a conventional one before you choose.
Common questions
- How many months of statements will I need?
- It depends on the lender. The number of months, whether the account is business or personal, and how deposits get counted are all set by the program you use.
- Is this the same as a no-documentation loan?
- No. You still prove your income. You just prove it a different way. There is real paperwork, and the file is still underwritten.
Source: CFPB, what a qualified mortgage is. Current program documents and the borrower's final disclosures control.
That source explains the qualified mortgage standard a bank statement loan sits outside. It does not describe bank statement programs themselves, and no government source does, because they are not government programs. How many months of statements, whether business or personal accounts count, and how deposits are turned into an income figure are set by each lender.
Related programs
This page is general information about loan programs, not a commitment to lend or an offer of credit. Program availability, terms, and qualification depend on your situation and are subject to underwriting approval. Tareq Maayta, NMLS #1443073. Loans through Finance USA Corporation, NMLS #135625. Equal Housing Opportunity.