How Many Pay Stubs Do I Need for a Car?
Chris is Head of Content for FindTheBestCarPrice and is based out of Philadelphia, PA. As a seasoned automotive industry analyst and car enthusiast, he ensures the highest level of quality across all our content and curates our picks for the best deals each month.
Chris studied information systems and marketing at Drexel University and writes about a wide range of topics ranging from car buying tips to troubleshooting common mechanical issues.
When he’s not thinking about cars, he likes to stay in with his dog and make an “attempt” to finish a crossword puzzle (he’s not quite at the Saturday/Sunday level…yet). As a former cheesemonger, Chris still has a “sharp” passion for all things cheese, and his fridge is always loaded with it!
Many dealerships would want to get you to pick up a car financing plan. Well, car financing or car loan is one of the payment platforms embraced by quite a number of new car buyers.
But you won’t easily get approved for a car loan unless you meet all requirements, which includes providing your pay stubs. But how many pay stubs do I need for car financing?
Most lenders, banks, or dealerships that offer car loans would request at least two months' pay stubs. Some lenders may request more than two pay stubs, but “two” is usually the standard.
In this article, we’d analyze the different requirements for a car loan application, but with a major focus on pay stubs.
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How Many Pay Stubs Do I Need for a Car?
Actually, every lender has its own terms and requirements – no two different lenders have the same terms. That said, the number of pay stubs you may need to submit depends on the car finance issuer or lender. However, the standard number of pay stubs requested for a car loan is two months.
You have to submit the pay stubs from your employer; if you’re self-employed or own a business, you must provide your pay stubs or other relatable finance documents about your business or firm. The pay stubs confirm your eligibility for the car financing plan you’re about to take for your new car.
But generally, pay stubs are not the only documents that qualify you for a car loan or financing plan. Other documents to bring along may include a valid driver’s license, insurance card, trade documents, and proof of residency. You may not need all of these in most cases, anyway.
Pay stubs are more important because they are used to verify your income information on tax returns and other financial documents. Whether you work as a full or part-time staff with an employer, you may need to submit at least one pay stub each for the employers you work for.
Do You Need Pay Stubs To Get a Car Loan?
Most definitely, many lenders would request this document before they can fund your new car purchase. But, if you have a very strong credit score, some lenders would process your car financing request without asking you to submit a pay stub. If you’ve worked with an employer for two years or more, some lenders won’t want you to submit a pay stub.
So, whether or not you need a pay stub for a car loan depends on quite different factors, especially the loan issuer. Furthermore, if you don’t have a pay stub to submit, some lenders may accept other documents, such as employment letters, bank statements, or recent tax returns, as proof of income.
Well, some people submit their pay stubs when trying to finance a car (even if the lender didn’t request such documents); it actually boosts one’s chances of getting approved for a loan faster. It’d be nice to say that you should compare car loan terms from different companies before settling with one and submitting the requirements.
