Self Employed Loans & Mortgages

If you are Self Employed and looking to take out a loan for home improvements, debt consolidation or for business reasons we have lenders that can help.

Our panel of lenders can provide Self Employed loans to clients that have been trading a minimum of 1 year and if you have a good or bad credit rating our advisers can help find you a loan.

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Best Mortgage Lenders For Self Employed

It is possible to be approved for a mortgage solely on self-employment income. If you can demonstrate sufficient, stable income and good credit to support the loan, a co-signer with a W-2 is not necessary. However, there are situations when a co-signer is useful in mortgage approval for the self-employed.

In these cautious times, banks are increasingly wary of lending to anyone without a solid financial track record and that applies especially if they are self-employed. However, as the number of self-employed people rises, lenders realise that there is an expanding market which needs to be served. So although it may be harder to get a personal loan if you are self-employed, it is not impossible.


Use your self-employed loan for almost any purpose

Self-employed loans can be used for almost any purpose. Whether you need to make some home improvements, buy a new car, or pay for school or university costs, it could help.

Perhaps you need a bit of extra help with your business? That could be buying new office equipment, or a van to help you expand - a self-employed loan could help you do this.


Self-employed loans

There are millions of self-employed people across the UK and working for yourself has lots of benefits. You are your own boss, you have the freedom to fit your work around your family, you might be able to work from home.

However, it has its disadvantages too. For example, finding a good deal on a loan can be a difficult task. That is because some lenders may consider you more of a risk to lend to, as your income could be classed as unstable. This means they may be unprepared to lend to you, or borrowing from them could be more expensive.

Whether you are a contractor, sole trader or run your own small business, a self-employed loan could help you borrow, so be sure to get a self-employed loan quote.


Proof of income

Responsible lenders need to make sure that loans for self-employed people will be repaid, so they will ask to see evidence of your income. It will vary depending on the lender but you may be asked for as little as 6 months’ proof of income, or as much as 3 years. This could be bank or business statements, or a finalised accounts statement; again, this will depend on the lenders requirements.


No Proof of Income

Most of the lenders around the financial market ask for two or three years salary accounts, bank account statement and other employment details. However, these documents are not necessary with these loans. The borrower can get around £100,000 with no income proof self-employed loans.

We specialise in self-employed loans whether you are a sole trader, sub-contractor, limited company or a partnership. We can help organise loans for people who have a clean credit record or maybe you have had some bad credit in the form of mortgage arrears, defaults and/or county court judgements.

Being Self-Employed has many benefits such as being your own boss and working the hours you want to, which is why more people are becoming self-employed since the economic downturn. We understand that being self-employed can also be more difficult to get a loan however we work with a range of niche lenders who understand how self-employed people structure their earnings and are therefore comfortable in offering you a loan.

Specialist self-employed loan lenders that we work with are happy for self-employed applicants to verify their income by providing their Self Assessment tax return, Company Accounts, accountants certificates and in some cases 6 months’ worth of bank statements.

Loans for self-employed are listed below and which we could help arrange for you:

  • Secured Loan - £10,000 to £1 Million over 3 years to 25 years. (for homeowners only)
  • Business Loan - £3,000+ over 1 year to 25 years.
  • Guarantor Loan - £1,000 to £10,000 - 1 year to 5 years.
  • Asset Financing - £5,000+ over a repayment term of the economic value of the asset.

I have been rejected by other lenders in the past for a self-employed loan, can I still apply?

Just because you have been rejected by one lender, it does not necessarily mean you will be rejected by another. Each lender has their own acceptance criteria and some specialise in helping the self-employed and those with poor credit.

We would not recommend applying for lots of loans at once as each application leaves a mark on your credit score.


Can I finance a car if I am self employed?

Being self-employed does not mean you cannot get a car loan. In fact, contractors and business owners qualify for auto loans all the time. The important thing is knowing what documentation is required in order to show the lenders that you are able to fund the loan.


How a self-employed loan could help you

Whether its to invest back into your business, buy a new company vehicle or to invest in new premises, a self-employed loan can make a huge difference. But when you work for yourself having the money to do these things is not always possible.

We help countless self-employed people move forward with affordable borrowing. That is because we look at your full personal and financial circumstances to determine whether a loan is affordable. And it means your payment terms will suit your unique situation.

Whether you are a self-employed tradesman such as a plumber, carpenter or a self-employed IT contractor we can help find you the most suitable and affordable self-employed loans. Please complete the enquiry form or give us a call to discuss your requirements in detail.

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Self Employed Loan FAQ's

Can you get a mortgage being self-employed?
It is possible to be approved for a mortgage solely on self-employment income. If you can demonstrate sufficient, stable income and good credit to support the loan, a co-signer with a W-2 is not necessary. However, there are situations when a co-signer is useful in mortgage approval for the self-employed. In these cautious times, banks are increasingly wary of lending to anyone without a solid financial track record and that applies especially if they are self-employed. However, as the number of self-employed people rises, lenders realise that there is an expanding market which needs to be served. So although it may be harder to get a personal loan if you are self-employed, it is not impossible.
I have been rejected by other lenders in the past for a self-employed loan, can I still apply?
Just because you have been rejected by one lender, it does not necessarily mean you will be rejected by another. Each lender has their own acceptance criteria and some specialise in helping the self-employed and those with poor credit. We would not recommend applying for lots of loans at once as each application leaves a mark on your credit score.
How does a self-employed loan work?
As you are Self Employed you will be required to provide specific documents to prove you earnings. If you are a Sole Trader or a Limited Company you will be required to prove your income by providing at least the most recent tax year tax calculations and tax overviews or Accounts. A major factor in all loans, whether you are a Self Employed or Employed applicant, is to make sure the loan is affordable over the loan term.

Self Employed Loans & Mortgages

The Money Hub

Product Name: Loans

Product Description: Self Employed Loans & Mortgages

  • Rating
5

Kavita

Gary has been great from the start, very professional and friendly. this was my first commercial finance and he answered all of my questions no matter how small & explained everything very well, for me to understand the whole process. I would definitely recommend TMH & if needed use their services again.