Question 1

Can I use business bank statements instead of personal?

Accepted Answer

Yes, most lenders accept business statements if you own 25% or more of the company. Some programs blend personal and business deposits for higher qualifying income.

Question 2

What if I write off 80% of my income on taxes?

Accepted Answer

Bank statement loans ignore your tax returns entirely. Lenders calculate income from deposits, so aggressive write-offs don't hurt your approval.

Question 3

Do I need two years of self-employment history?

Accepted Answer

Most lenders want two years in the same business or industry. Some accept one year if you have strong credit and reserves.

Question 4

How do underwriters handle large one-time deposits?

Accepted Answer

They exclude non-recurring deposits like tax refunds or equipment sales. Document the source upfront or they'll subtract the full amount from qualifying income.

Question 5

Can I refinance with a bank statement loan?

Accepted Answer

Absolutely. Rate-and-term refinances work the same as purchases. Cash-out refinances require 15-20% equity and have slightly higher rates.

Bank Statement Loans in Sanger: Income Verification That Works for Self-Employed Borrowers