Self employed income lending

The documentation requirements to verify your income for a standard loan can be extensive when you’re self employed. Unlike an employee drawing a wage from an employer, when you’re self employed and looking to borrow money, lenders place greater scrutiny on your capacity to repay a loan. Your lender will need to see your company bank statements, previous tax returns and other documents prepared by your accountant. This is in addition to the standard documentation about existing debts, security details and other liabilities.

To avoid what may seem like an endless document trail, we offer a Lo Doc (low documentation) loan. This loan reduces the documentation required for self employed applicants to prove their income. It simplifies the approval process, by allowing you to sign a declaration stating your income, which is then verified by your accountant. The lender can use this declaration as proof of your income.

• You pay a premium – The majority of low doc products are offered at a higher interest rate compared with the equivalent standard loan product, which means your loan repayments will be higher each month. This is because the lender is taking on more risk in terms of your capacity to pay back the loan, as the income details are not fully verified.
• Greater Loan to Value Ratio (LVR) restrictions – Most low doc loans are capped at a LVR of 80%. Self employed borrowers looking to borrow more than 80% of their property’s value will need to comply with the standard income requirements.

SmartDoc

A variable rate home loan which allows self employed customers to sign an income declaration form with accountant verification, instead of providing proof of income documentation. The SmartDoc loan comes with a fully featured 100% offset account to reduce the interest charged and the option of up to 10 years of interest only repayments for investors to minimise their costs.

Download the SmartDoc fact sheet

SmartDoc Fixed

A fixed rate home loan with terms of one to five years, which allows self employed customers to sign an income declaration form with accountant verification, instead of providing proof of income. The SmartDoc fixed loan automatically comes with a fully featured 100% offset account, as well as the option of paying interest only repayments for up to 10 years.

Download the SmartDoc fact sheet

SmartDoc Plus

A variable rate home loan for low doc applicants who apply for a loan with an LVR of 60-70%, which does not require Lenders Mortgage Insurance (LMI). The loan comes with the option of making interest only repayments for up to 10 years and a fully featured 100% offset account.

Download the SmartDoc fact sheet