Yes, finance is available for those who are self employed or work part time hours.
Sometimes people who work for themselves encounter problems when trying to gain finance. This is generally because sometimes they struggle to prove a regular income as the amount will often change on a month to month basis.
In general lenders will charge higher interest on loans to the self employed because from the lenders perspective these loans are seen as higher risk. There are certain deals available on the market though and some lenders are happier to allow self employed consumers obtina car finance.
When applying for a loan people who are self employed need to declare to the lender certain information and documents.
- The borrower needs to declare their income.
- At least three months worth of bank statements will be required in order to display the borrower’s gross income.
- They may need to get a certificate from their accountant that can prove that they have enough income to cover the loan repayments.
It can help the borrower’s case if they have a mortgage and can provide evidence that they regularly make their mortgage repayments.
In order for a part time employee to be accepted they will need to be able to prove a certain level of income, which is generally about £800 per month. As long as they can prove they are in regular employment the fact that it is part time will not affect their ability to get a loan.
As with all loans there is a certain set of criteria that needs to be met such as being permanently based in the UK for the last two years, having a permanent bank account and being over the age of 18.
