When you apply for a car loan, most lenders require proof of income.
If you are unable to provide that evidence because you don’t have a job or are self-employed, your options are somewhat limited.
However, it is still possible to buy a car even if you don’t have proof of income when you follow some specific steps.
What proof of income is required for a car loan?
Proof of income.
In order to qualify for a car loan, you’ll need to prove that you have a steady source of income. Pay stubs or bank statements are generally sufficient proof, though some lenders will want to call your employer for verification.
Do car dealerships need proof of income?
Auto finance companies will require one of two types of paperwork to verify income. Make sure that you bring the appropriate documents with you to the car dealer when making a purchase. W2 earners should bring recent paystubs or direct deposit statements, while the self-employed should bring two years of tax returns.
What can be used as proof of income?
The most common documentation for proof of income includes:
Pay stub. Bank Statements (personal & business) Copy of last year’s federal tax return. Wages and tax statement (W-2 and/ or 1099)
Can I get a loan without proof of income?
Unfortunately, many lenders require that borrowers have some proof of income before they’re willing to pass out personal loans. However, in some cases, you may be able to secure a loan – even without the proof.