No Doc Equity Loans – What Exactly Are They?
Author: Gressly Stevens
A no doc loan is basically a home loan against your house that does not require any proof of documentation from you. Normally you would provide proof of income documentation, job verification documents, have your credit checked, and there might be some other documentation that they will need, but with a no doc equity loan you will not be concerned with about any of those documents.
The finance company will check your credit and as long as your credit is good enough and you have enough equity, then you will get the loan. This can be a good loan for certain situations, but is not a loan for everybody.
If you are work for yourself, then a no documentation equity loan is possibly for you. You won't have to prove income, which might be difficult for some businesses. You won't have to prove your job, which can also be very difficult for self employed individuals. You will, however, have to pay a higher rate with this type of loan and you may not be able to get as much of a loan as if you are able to prove your income and your job.
If you work as an independent contractor, then a no doc equity loan might be for you. Independent contractors often have a hard time proving their real income and they can have some difficulty proving their job so this type of financing can work wonders for them.
Servers, Bartenders, and all others that have difficulty proving their true income can greatly benefit from an equity loan with no documents. If you get paid on a regular basis and you have worked at your job for a couple of years, then you do not want this type of loan for yourself and your family.However, those that struggle to prove their real or true income should consider looking into a no documentation equity loan to help them get what they need.
