How Long Do I Have to Be Working Before Applying for a Loan?

How Long Do I Have to Be Working Before Applying for a Loan?

 

Banks have many conditions an applicant must meet to ensure they can service a loan. One of these is to be working in a current job for a minimum time, which will include different requirements for each type of worker.

PAYG (Full time)

For a PAYG employee they must have been in current job for a minimum of 6 months. A person that has not been in current position for 6 months but is in the same industry with a minimum of 12 months previous experience, this will also be considered.

Evidence Required –

-        2 payslips with year to date figures

-        3 months bank statements showing salary credits

-        Current group certificate

-        Current tax return

 

PAYG (Casual)

Banks will consider causal employment for servicing a loan, the minimum requirements are to have been in current position for a minimum of 6 months with some banks expecting a minimum of 12 months.

Evidence required –

-        2 payslips with year to date figures

-        3 months bank statements showing salary credits

-        Current group certificate

-        Current tax return

To use casual employment for servicing a loan the bank will annualise the year to date figure over a 46-week period to account for holiday and sick leave.

 

Self-Employed (Full-Doc)

Banks will use self-employed income for servicing a loan, minimum requirements to use this income are a minimum of 2 years ABN, latest tax return and business profit and loss.

 

This is a general outline of what a bank requires with each bank having variations to their servicing requirements. At Mortgage Choice Geebung Daniel and John strive to provide the best service by doing all the leg work and guide you through each step of the loan application all the way to settlement and beyond.

Make a step in the right direction today and contact Mortgage Choice Geebung on 07 3833 9666 to ensure what you’ve been told in the past is in fact true and accurate. 

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