Self-Employed? Here Is How to Document Your Income for a Car Loan

The Self-Employed Challenge

Traditional auto lenders ask for recent pay stubs — something most self-employed Canadians do not have. Fortunately, many subprime and alternative lenders accept other documentation to verify income.

Accepted Documents

• Bank statements: 3-6 months of business or personal account statements showing regular deposits.
• Notice of Assessment (NOA): Your most recent NOA from the Canada Revenue Agency confirms reported income.
• T1 General tax return: Line 15000 (net income) is commonly used.
• GST/HST returns: Useful for businesses with significant revenue.
• Contracts and invoices: Long-term client contracts can demonstrate income stability.

Tips for a Stronger Application

Separate business and personal finances with dedicated accounts. Maintain consistent deposits even if amounts vary. If you recently started your business, a co-signer or larger down payment strengthens your application.

Approval Hero specializes in self-employed financing. Apply today and bring the documents you have — we will guide you from there.