A stated income credit line is loan where the lender does not verify the borrowers income by looking at their pay stubs, income returns , forms, or other records. The borrower are simply asked to state their income, and taken their word for it

Stated-income credit line are great for small business owners, and people who work on commision or are self-employed. With this type of loan, your income doesn’t have to be proven. The lender takes you at your word as to your stated income, and can only verify whether your reported income is in line with industry standards for your occupation.

Potential borrowers must a have a mid-to-high credit score. and must be able to verify assets. Most lender requires assets equal to six months of the stated income.