Most Lenders Crosscheck Against ATO, Bank Statements, and Credit Bureau’s Comprehensive Reporting Reports (known as CCR)
When you apply for a home loan, you will have to provide numerous financial documentation to prove your worthiness as a borrower. These documents include payslips, tax returns, and bank accounts. In addition, your lender will run a credit check to look at your credit history, assessing your reliability of making loan repayments. They will crosscheck your documentation against those provided by the Australian Tax office, bank statements, and the Credit Bureau’s comprehensive reporting reports.
Why Do I Need to Provide Financial Documentation?
Lenders require financial documentation to ensure you can afford the size of your loan. They take a risk on every loan they approve, so to make sure they get their money back, they want to ensure their borrowers can afford their loan repayments. Not only will your lender look for a stable income and genuine savings, but they will also look for evidence that you make regular repayments on your credit cards and other debts.
What if I’m in a Poor Financial Situation?
Even if you are self-employed and don’t have a regular income or have a poor credit history, you can still be approved for a home loan with certain lenders. At Mortgage House, we offer a variety of low doc loans, low deposit and no deposit loans, as well as bad credit loans to help every person reach their goals of owning their own home. In addition, the loans we offer have lower interest rates than those offered by our competitors. Once your financial situation improves, you can refinance our loan with us for an even better rate.