22 Jan 2022

Is a Bank Statement Proof of Income?

Bank Statement Proof of Income

The thing about bank statements is that they constantly change. Depending on the lender and bank, a bank statement may only prove that you have money short-term; it does not determine your yearly income. However, if you provide enough bank statements that show consistency, they may be used as proof of income.

Bank Statements and Taxes

For the best chances of getting a bank or lender to lend you money, experts recommend submitting bank statements for a minimum of 6 months and yearly taxes. This not only shows that you have income that is consistent and reliable but that you are smart with your money. 

Bankers and lenders usually use bank statements to look at the total amount of money in your bank accounts. They usually frown when they see numbers dip low, especially frequently and in savings accounts.

Can Bank Statements Be Seen Negatively?

While it may be tempting to submit bank statements as proof of income, depending on your spending habits, this decision could backfire. Companies and bank lenders do not want to see bank recipes showing unnecessary spending. While you may have a lot of money coming in from income, if you have more money leaving your account than you are gaining, this can be seen negatively.


All in all, bank statements should only be used if you don’t have any other way to show that you have money. A few months before deciding on a bank or lender, try to spruce up your account by limiting the spending. This way, your lender or bank can see growth in your accounts.

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