The traditional bank loan has lost a great deal of ground with the introduction of low doc loans in recent years. This is probably due to the fact that the traditional standards of banks are becoming more challenging to meet.
Low doc loans means that borrowers can receive money without needing to provide lots of documentation. In fact, people opting for traditional loans may find themselves rejected because some documents are missing.
This article will provide information to the various ‘frequently asked questions’ regarding low doc loans. The information helps people learn about low doc loans, how they operate, and what purpose they serve.
The LVR refers to loan-to-value ratios, representing the amount you can borrow against the chosen property. The LVR is a specific percentage of the property value, and if you are fortunate, you can borrow approximately 80% of the home.
The higher the property value, the more considerable the amount you can borrow. Be cautious because you could land up with a lien on the property if you have errors in the application. A loan will not be useful in this situation.
With Maxiron Capital, you can get a low doc business loan within three simple steps -
Fill out our pre-approval form - it takes only 5 minutes!
Receive an immediate decision - upload a few documents for verification
Receive your funds in as quick as 1 working day
The low doc loan is a beneficial option for business owners, but it can be tiresome unless you understand the concept. Furthermore, if you require a low doc loan and quickly, it is recommended you use professional services like Maxiron Capital. While low doc loans are accepted readily, it is significant that you review any potentially damaging consequences once you have taken the loan. A credit score can plummet if there are errors, and it is near impossible to regain money to move a bad score back on track.
Regardless of what your past credit report might look like, our Low Doc Commercial Loans are available to all eligible Australian individuals. Here at Maxiron Capital, we understand that starting a business is not an easy task, and thus we are invested in helping them with their current situations.
We provide one of the most competitive rates within the industry, offering as low as 1% per month and also offer a line of credit as well as redrawing facilities for quick access to loan funds. Last but not least, our loan terms are very flexible and have been tailored with our customers in mind, hence, adjustments are easy to make as per the comfort of the borrower.
It works the same as your ordinary business loan, with the exception that it doesn’t require significant documentation commonly used to determine one’s financial background. These are ideal for businesses that find difficulty to provide traditional banks with relevant financials.
There are no limits as to how your business chooses to use the received loans. Be it restocking supplies, covering unexpected costs or expanding your business, you can use the loans to your heart’s content.
Yes. A low doc business line of credit will be made to our clients. Fundamentally, it works the same way as a low doc loan, clients can access their line of credit hassle-free, without needing to provide extensive documentation.
Yes, it is possible to apply for a low doc loan as a self-employed individual. In fact, low doc loans are available exclusively to the self-employed. This is because self-employed workers find it difficult to provide all the documents required in a traditional loan.
The low doc loan is offered by lenders who do not care about documentation as much as conventional banks. The only essential document is proof that you can repay the loan; however, this could be a simple declaration written down.
While the credit score is not as significant for low doc loans compared to traditional loans, it does still hold importance. A person’s credit history can also make the difference between acceptance or rejection of the low doc loan.
If you present several ‘bad marks’ in your credit history, the lender may not be willing to give you a loan. Before making applications, it is recommended that you check your credit history for errors or items that could result in a low score.
If there are problems with the application process, you can attempt to explain to the lender why your credit score is low.
It is possible to obtain a mortgage even if you cannot prove income using the traditional methods. Of course, this is not something you should consider doing without speaking with advisors first.
There are various packages available from which to choose, and it is best that you work with experts in the field to ensure you select the most suitable when you need a loan. We can assist you through the low doc loan process securely and simply.