Personal loan - self employed

hannahjaynexo

I have been accepted before in the past for the exact same amount of money before i went self employed and i was earning the same each month... however it was a few years ago and i cancelled it due to a family member loaning me money instead. So thats why i thought i would be excepted... im just unsure in regards to me being self employed now how thats affecting the outcome

BoGoF

What happened a few years ago is frankly irrelevant. Lending criteria is tighter now.

tiger_eyes

Leaving aside why you pay personal outgoings from a business account - this refusal is an opportunity to think hard about whether you can really afford this loan, taking into account factors such as the size of your emergency fund, how many months you could pay your expenses if your business failed, etc.

DoctorStrange

How have you convinced your accountant that personal bills can be paid from the business account?

Curious on the tax treatment on that...

MEM62

hannahjaynexo wrote: »

im just unsure in regards to me being self employed now how thats affecting the outcome

You have a limited company. Is your status not 'employee'?

Sncjw

Why are you paying personal things using business money. What do you do with the money you put in your personal account if nothing comes out.

foxy-stoat

hannahjaynexo wrote: »

even though the loan would be to pay off over 5 years?

This has no relevance to the debt to annual salary ratio, doesnt matter if its a 12 month loan or 60 month loan.

Lenders criteria has to be strict incase they get a "mis-sold loan because they lent me the same as my gross annual salary BS scam claim".