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New Member
apu6speed
Posts: 4
Registered: ‎10-04-2013

Lack of POI Proof of income

Hello.  I am a bar tender looking to purchase a preowned car, unfortunately my income cannot be verified as 95% of the money is cash tips.  I have a 655 score and was sondering if anyone could point me in the right direction of any lenders who might be able to approve me. I have perfect payment hisotry for the past 4 years and am 4.5 years out of a chapter 7 bk.  Looking to borrow approximately $20,000 with a 20% down payment

 

thanks

Moderator
Revelate
Posts: 6,758
Registered: ‎12-30-2011

Re: Lack of POI Proof of income

You can demonstrate income through tax returns or I've been told bank statements: those may be more applicable in your case.

 

I don't think you'll have an issue other than I dont know how many lenders have issues for BK's on reports, but someone will give you financing as long as you can demonstrate the ability to repay.


Starting Score: EQ 561, TU 567, EX 599* (12/30/11, EX lender pull 12/29/11)
Current Score: EQ 672, Wally TU 686, EX 702 (04/14)
Goal Score: 700 in all three (01/01/15)


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New Member
apu6speed
Posts: 4
Registered: ‎10-04-2013

Re: Lack of POI Proof of income

The money is not the issue.  Its the prooving it.  I usually keep a balance of around 7-8000 in my checking account.  Will this suffice ?

Moderator
Revelate
Posts: 6,758
Registered: ‎12-30-2011

Re: Lack of POI Proof of income

[ Edited ]

apu6speed wrote:

The money is not the issue.  Its the prooving it.  I usually keep a balance of around 7-8000 in my checking account.  Will this suffice ?


Even on tips should be reporting it as taxable income: if you paid taxes on it, you can claim it as income easily.

 

Otherwise people have said that in some cases you can use bank statements showing a pattern of deposits to prove income; I've never seen that personally, but tax records are the traditional method of proving income for the self-employed, it would work in this situation too easily enough.


Starting Score: EQ 561, TU 567, EX 599* (12/30/11, EX lender pull 12/29/11)
Current Score: EQ 672, Wally TU 686, EX 702 (04/14)
Goal Score: 700 in all three (01/01/15)


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New Visitor
CadillacXTS
Posts: 2
Registered: ‎10-04-2013

Re: Lack of POI Proof of income

+1

Frequent Contributor
SamsungHDTV
Posts: 453
Registered: ‎10-25-2011

Re: Lack of POI Proof of income

As with the other posts have read, either showing bank statements of cash deposits or your tax returns with you claiming the income.

 

If you don't claim the income on your taxes, as a lot of bartenders and waiters do, then you wont be able to use it.

 

If you don't deposit your cash into a checking account, you won't be able to use bank statements. This method will also vary by lenders. Some lenders will use bank statements, others may not. Most if not all will take tax returns.

 

 

I'm a personal banker and do a lot of auto loans serving the Houston area.
I suggest first time car buyers to read the sticky guide in the auto loan section.
I try to check these forums often, but if I missed your post, please feel free to message me with a link to it.
Mega Contributor
Creditaddict
Posts: 16,869
Registered: ‎10-23-2007

Re: Lack of POI Proof of income

Who do you bank with that has this cash in it and have you applied?
Fico Scores: EQ 620, TU 675 & EX 703 (4-1-14)
Joint Cards: Navy NavCheck $15000, Discover iT $9000, Macy Amex $4000, Macy Store $3000, Macy Furniture $5800
AU: Virgin America $8500, CSP $27,000, Fidelity Amex $25,000, AA Biz $25,000, Barclay USAir Biz $6640
Mine: Navy NavCheck $3000, Kay Jewelry $2700, Pottery Barn $2800, FleetCard MC Biz $1800, HSN $1500, Vitacost MC $1500, Navy Cash $1500 and nRewards $1500, Bill Me Later $772, Cap1 Sony $750, Cap1 Spark $750, Best Buy MC $750, GE 76 Gas $650, Von Maur $600, Cap1 QuickSilver $500, Burbank CU $500, Kohls $300, Target1 $300, Target2 $300, Buckle $250, Express $250, Target3 $200

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