What is a self assessing Low Doc Loan?

Low Document loans are loans where, for whatever reason, the borrower can not verify his income through tax returns. These loans are available only to self employed borrowers who have been in business in excess of two years. The lender generally relies on an income declaration from the borrower to assess the ability to service the loan. No proof of income is sought with the exception of other income that can be proven such as rentals etc.

The lenders will charge a higher interest rate for the privilege of providing this type of loan in the region of 0.75 - 1.00% above the standard rates.