financing with stated income or no documentation
 

I would like to get an idea where i need to be shooting for with my credit score to get financed

40k selling price
5k for down payment
boat would be 1999 or 2000
28-30 foot single engine go-fast (nordic heat/kachina/superboats/scarab) something like that

here's the kicker , would have to be no doc or stated income
i cant prove 1/2 my income ,
i know from purchasing / refiancing my house that there are lenders out there , but a house is a much easier to repo asset

i would prefer to buy my boat without touching the equity i have in my house , especially with the market lately

I'm not sure, I too have got a few mortgages on stated income, never a boat though.

I vote for NOT messing with you house, either in the form of home equity or a cash out re-fi. No sense in turning a recreational activity into long term debt.

Thanks mark , i appriciate the input , but still want to stay away from putting my house up as collateral
i wonder if they will accept one of my kids as collateral ?

If Your Credit Score Is High Enough, A Boat Loan Is No Problem. You Will Not Have To Prove Your Income. Good Luck On The Boat

Kyle from Newcoast (aka loanranger) should be able to hook you up:ernaehrung004:

Kids are considered a liability, not an asset. Just like horses:D

sometimes my house seems the same way
but there strong kids , they could do the same work as a horse , if you beat em e-nuff

just kidding , horses are probably still stronger
lol

there only 1 person i've dealt with and he's done all of my marine loans. Dave P at Essex Credit. 732-674-2946 tell him Bernie sent ya !! If it can be done he's the man.

I would not do a HELOC. The interest rates on my HELOC is running 2% higher than my fixed % boat loan. Get a boat withj teh right amenities and the interest is still tax deductible.

I've done stated income with a boat loan about 6 years ago for about the same $$ you're doing. It was no problem. When I did my loan for the AT 5 months ago at the same bank for only 15k more, they made me give tax returns and pay stubs. I said WTF is this about????? They said that they had to change the way they were doing stuff because of repos and forclosures. This is all with fico's in the 800 range.

it would take an act of god to get my fico's in the 800 range anytime soon , but i'm sure in the spring i'll be up to high 600's

On a boat???

No thank you....you'll be upside down in that loan/boat faster than you can drive away from the showroom floor. :hitfan:

Friend of mine did something like that with a Formula PC...he couldn't sell the boat without forking over tons of cash....he lost his down payment and still had to pay like $10K to get out from under the boat 5 yrs later.

How does one have "undocumented income"? Garage sale proceeds? We used to call that "beer money".

I would think if it's undocumented, i.e., not shown on your federal tax return, why would a lender consider it income. What am I missing?

Just speaking from my own experience, NO doc usually includes people that get 1099'd. Like my business, where there are dozens of different "expenses" that add up to a whole lot of money coming off my income. Looking at my tax returns makes me look like a poor fella. Most of us probably have trucks, cars, equipment that is owned by business(s) and make up part of our "income".

At least, that is why I have the need for low and no document loans.

soo because my employer chooses to give me my bonus's and commisions in cash (more then half my income) i should not be able to finance a boat?
it happens in the mortgage world every day , i'm as patriotic as the next guy but for some reason our government chooses to tax extra income(bonus's and commisions) at about 35 percent. i think its a little steep and my employer does too

Like, as in, my 2 vehicles, one truck one beater Honda. Both of them are written off (interest on loans, maintenance, fuel) So, at some point I am not paying for my ride, on the other hand, it is still coming directly off of taxable income in the way of a business expense.
Home office the same thing, it helps the heat bill, electric, taxes, maintenance, etc.

So then what you're saying is that "undocumented income" is a polite euphamism for "felony tax evasion"?

No wonder the mortgage industry is dragging our economy down.

at the end of the year you get that back.

Not paying taxes is why I won't have social security when I retire.:hitfan:

Can't get a loan because you can't show the paper, go see someone in the mafia....

Sometimes I can't believe what is talked about on here its a good thing no one from the IRS has a fast boat.

They don't need to look at Internet forums to find this sort of stuff out. I've known more than a few "smarter-that-they-are" guys that got clipped. They have their ways. Filing a fraudulent tax return is serious stuff. Getting a couple of questionable deductions bounced from your return might cost you taxes & interest- maybe a penalty. Hiding more than 1/2 your income is a different story. I can't understand why the employer would do that anyway- unless the money came to him under the table as well. Unless I miss my guess, that makes it a criminal conspiracy- even worse.

Is that really why? I thought it's because the vault had already been robbed ;)

the employers do it to keep from paying state and federal income tax. there as big a culprit as the employee. any earned income should be put on paper. i see it everyday. and i have to laugh at the people who are making say $12-1500 a week....there paystubs show $6-750 and they want to know why they dont qualify for a mortgage for $250k...or in some cases there debit loads are so high there current monthly debit actually is higher then there verifiable income...hmmmmmm hows that work . ya show on paper making $3k a month (gross) about $2200 (net), current liabilities are rent, car pymts and credit cards equaling $1950 a month and wonder why there turned down for "INSUFFICENT INCOME" bottom line is...IF YA CANT PROVE IT IT DOESNT COUNT !! ya wanna duck the IRS for the couple dollars ya save then ya cant get the things ya want because on paper ya cant afford it. I've been a Finance Mgr in the Auto biz for over 15 years and see it everyday

It is a crazy world we live in isn't it! :(

Guys that can't get loans because they can't verify income can still get a loan but they get the loan from a friend who has the money...not a bank. :D

Bernie, you hit the nail right on the head bro!

funny , cause my mortgage was no problem
and i'm basicaly the guy ya'll are talking about

Mortgages are different then boats.... A boat loan is basically a personal loan, it's almost as if they don't consider the boat as collateral. The bank will gladly foreclose on your house and sell it cheap to forgive the loan and you're on the street... It's not like you're going to hook up the dually to a 3 bedroom house and tow it to canada.

Plus...look at the sub-prime debacle that's happening right now...

When You are talking about that kind of Cash (% of your income) you are bound to get nailed eventually. If you put that money into a bank account, pay any bills with it, any payments that are trackable you will be up Sh**t creek without a paddle when they decide to audit you. I know a woman that used to work for the IRS and she said that 60% of the tips that come in narking someone off is from a family member. So when your brother in law is jealous about your new boat or your cousin is upset you have a nicer home, they do what jealous people do and even the score. Also, how is the employer showing where the money went?

I'm not trying to be rude but you are playing with fire and eventually it will probably burn you. Ok, enough preaching but the consequences when dealing with the gov. aren't pretty.

As far as no doc boat loans go I think in the current market that will be tough. When we did our boat through Key Bank 14 months ago it was really simple and we stated income and showed assets. We never gave a tax return (we could have) but our assets were there. Another thing is liquid cash. If you can show that you have 50% or so of purchase price sitting in liquid funds than a lender feels much more confident in the risk. That is the case with any loan, banks like to loan money to people that already have a little.

I think the current environment could prove tricky to do what you are trying. Additionally, I would never state income that I am not showing on my taxes!!

I'm guessing you didn't do that loan very recently, and if you did you paid through the nose for it as a result.

Another issue is at the moment foreclosures are in every spectrum of the market. I am actually looking for a new primary residence as a result of the values that exist. I am a licensed realtor and am shocked at the number of bank owned homes on the market that have a listing price of 80-100k less than what the note is. These are 3-4000sq ft homes sitting on 3-5 acres ( not exactly the ghetto).

Did my loan last June. It was pretty much like financing a car. I put down what I made on the app. They took my word for it based on my credit score. That's it. No tax returns. No payment stubs. Not even sure they called to verify income. From what I was told that is usually the case under 100k. Was not like a real estate loan at all.

I had the same situation with the mortgage for my house... Because I put 1/3 of the sale price down they didn't ask many questions.... I provided all the documentation that was needed and requested... I even notified my employer to expect a call to verify employment but they never did...

It's practices such as this in the banking industry that make you wonder why we have a mortgage crisis in this country right now..:eek::(

Agreed plus all you can do with cash is spend it no investments pension plan etc ends up costing you money even if you don't get caught.

I don't hate you or people like you. I just hate to see people get hurt for many years to come when they get blind sided by uncle Sam. All I was trying to say is that if you are paying bills with that type of money they can track it and nail you to the wall. Those type of funds need to be used solely on disposable types of expenses like eating out, going to shows, some fuel etc.

As far as the original question was concerned: I think you are going to have a tough time doing a stated income scenario because you can't show (or shouldn't show) where the money is coming from.

Sorry you felt attacked, I know that wasn't my intention.

Josh

Enforcer,
For the size deal you are talking about you will need a credit score around 650 or above. Typically loan amounts less than $100,000 are always stated income. Give me a call if you have any specific questions.
Thanks,
Kyle

If You Go To Your Local Boat Dealership, Ask Them To Broker The Deal For You And Use Their Financing To Get The Deal Done. There Again, It Is Just Like Buying A Car. If You Credit Is As Good As You Say It Is, There Will Be No Problem. I Have Done It Twice This Way And Never Had A Problem. My Credit Score Was Above A 700 And Didn't Have To Prove Any Income. Plus, Usually The Dealership Has More Banks And Can Usually Get You A Better Intrest Rate. Make Sure He Is Being Competitive Or Better With %, And Kick Him A Few Benjamins For Hooking You Up.
Any Q's, Call Me 405-664-8594

I Have Been In A Business Manager For 10 Plus Years

Hope It Helps

same for me..wasnt my intention either. if you took it that way i apologise

I see. For me it made it easier because the boat has all the amenities to be classified as a second home with interest deduction.

I Wouldnt Ever Wrap Up A Depriciating Asset With Equity From A "hopefully" Appreciating One !!

Try eboatloans.com. They are great to work with. We are a small boat dealer, so don't have our own financing available. I send customers to them a lot and they have always been happy. They did a note on my personal boat. Financed 80k on stated income. Faxed the documents back and forth, never left my office and got it all done.

Key bank didnt ask for any of my financial docs, I called them one day, they pulled my credit, Fedx me the Loan docs to sign and wired the money all in about 3 days.Almost too easy.

You should have to pay the taxes on the bonus's. If you were, you'd be able to verify your income.

Bonus/Commisssion checks are only taxed at the higher rate when you receiving them. It is just regular income when you do your tax return and you will be refunded accordingly.

You can write off boat loan or RV loan interest the same way. It qualifies as a second home as long as it has sleeping, cooking and bathroom facilities. ie, V berth, microwave, porta potti.

hey i went through key bank stated they will only go up to 95 or 100k i settled in less then one week and i did not need a survey but anything over there amount is out of your pocket this was as easy as buying a car my mid score was 730s good luck