If you need a car loan, you may not have all the spare time required to fill out the seemingly endless paperwork, or perhaps if you’ve just started a business and are unable to provide all the necessary documentation for a traditional loan. In such cases, your best option is a low doc car loan. This kind of loan will save you a lot of time and stress because you won’t have to fill out piles of paperwork or jump through the many hoops typically required by lending institutions.
Here’s a quick look at what low doc loans are and who can apply for them.
What is a low doc loan?
A low doc car loan is much like a typical car loan, but there is one significant difference – lenders require minimal documentation. To get a low doc loan, you’ll need to supply only the completed application form, proof of identity (trust deeds or partnership agreements may be permissible depending on the lending institution) and a signed privacy form.
An additional benefit of a low doc loan is that it can be used to finance other Fit for Purpose objects that you need to run your business such as equipment. The lending criteria will vary depending on the financing institution.
Who can benefit from a low doc loan?
If you don’t have the time to source a loan, a low doc loan is an ideal, quick solution.
Entrepreneurs who don’t have up-to-date financial statements can also benefit from the low doc loans process, and they won’t have to provide the tax return documentation which is usually a requirement when sourcing finance.
It’s often a struggle for freelancers to get loans because they don’t receive payslips, which makes producing proof of income difficult. A low doc car loan focuses on alternative sources of verification such as bank statements to prove a regular income stream.
This type of loan will also benefit sole traders, business partnerships and trusts because all that is required is a healthy credit history.
Don’t let endless red tape and tedious documentation requirements prevent you from accessing the finance you need to grow your business. Apply for a low doc car loan today through Simply Finance. For more information speak to one of our expert loan brokers.