How To Finance Big Ticket Purchases When You Are Self-Employed

When you are self-employed, you don’t get the typical W2 or paystub that regular employees get. And of course, that is what lenders primarily use to determine if you can get approved for financing for a big ticket item like a new car or a home loan.

So what are self-employed people supposed to do? Keep driving around in a rinky-dink old sedan instead of a shiny new SUV? Wrong! If you are self-employed, you can still finance big ticket purchases, you just have a few extra steps to go through.

Proof of Income

Be prepared to print off several months worth of bank statements to provide as proof of income. You want to have as many pages of incoming deposits as possible to show that although self-employed, you have a steady source of income and are capable of making the required minimum payment.


This is just an extra step of proving your income. You can provide a copy of a 1099, Form 1040, or even a Schedule C.

Proof of Residence

By showing a history of paying rent or a mortgage on time, it makes you more trustworthy and responsible to lenders.

Great Credit

Having great credit is a requirement for all potential borrowers, but even more so for self-employed borrowers.

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