Question 1

Can I mix bank statements and a P&L on the same loan?

Accepted Answer

No. Lenders require one income documentation method per loan file. You pick the path that shows your income most clearly.

Question 2

Do I need a licensed CPA for a P&L loan?

Accepted Answer

Yes. Most lenders require a licensed CPA to prepare and sign the statement. Bookkeepers and unlicensed accountants don't qualify.

Question 3

Which loan has lower rates?

Accepted Answer

P&L loans often price 0.25-0.5% lower if your financials are strong. Bank statement loans carry slightly higher rates for the added flexibility.

Question 4

Can I use cryptocurrency as income for either loan?

Accepted Answer

Some non-QM lenders now accept verified crypto holdings as income or reserves. Availability depends on the product and documentation.

Question 5

How far back do bank statements need to go?

Accepted Answer

Most lenders require 12 or 24 months. Longer history can improve approval odds if your deposits are consistent.

Question 6

What if my books show a loss this year?

Accepted Answer

P&L loans won't work with negative net income. Bank statement loans may still qualify you if deposits show positive cash flow despite write-offs.

Bank Statement vs P&L Loans in Half Moon Bay: Which Fits Your Self-Employed Income?