Profile picture for user07727047

Do lenders look at bank statements? How closely?

I'm a little worried I won't be pre approved. I have lived with my parents for a few years, and every paycheck I would withdraw a few hundred dollars to put under a mattress and it shows in my statement. Also, I have been over paying my college loans since I live with my parents, so I pay about 1k a month for college, the minimum payment says 0 until 2016 but I figured Since I love with my parents. Is that also a red flag? Should I print my college loan statement?
  • April 10 2014 - US
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Answers (3)

Lenders will usually take a good look at your bank statements and this is rather common. For your situation, you just may need to supply the lender with a letter of explanation. This letter would state the same things that you have described above, but with more detail. Either way, this shouldn't cause too much of a problem in your loan process. So the best thing for you to do is to speak with a knowledgeable lender to see if you can get started on financing a new home. If you need additional assistance, feel free to reach out. Good luck!
  • April 11 2014
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not really a red flag, banks want to see a paper trail of where the money is coming from. cash is no good in my line of work. if you have cash just saved up to use towards down payment and closing cost that's a different story.

ultimately sounds like there might be a loan there for you
  • April 11 2014
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Profile picture for wetdawgs
The lender will look at the last couple of months of bank statements.   You are allowed to live life before buying a house, and good for you for working to get your college loans paid off.
  • April 10 2014
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