Question 1

Can I qualify for both types of loans?

Accepted Answer

Yes, many borrowers qualify under both programs. We compare your approval amount and rate under each option to find the better deal.

Question 2

Do I need a business license for either loan?

Accepted Answer

Not necessarily. 1099 loans just need documented contractor income. Bank statement loans work with or without formal business registration.

Question 3

Which program closes faster?

Accepted Answer

1099 loans typically close quicker because documentation is simpler. Bank statement loans need more underwriting time to verify deposit patterns.

Question 4

Can I use personal bank statements instead of business accounts?

Accepted Answer

Yes for bank statement loans. Lenders accept personal statements if that's where business income deposits. 1099 loans don't require bank statements at all.

Question 5

What credit score do these programs require?

Accepted Answer

Both programs typically need 620 minimum, though some lenders go to 600. Higher scores above 680 unlock better rates on either option.

1099 Loans vs Bank Statement Loans in Bell Gardens: Which Self-Employed Option Fits You?