{"id":30774,"date":"2018-10-31T11:57:44","date_gmt":"2018-10-31T15:57:44","guid":{"rendered":"https:\/\/www.arffinancial.com\/development\/?p=30774"},"modified":"2021-02-18T14:16:19","modified_gmt":"2021-02-18T19:16:19","slug":"why-lenders-want-to-see-your-bank-statements","status":"publish","type":"post","link":"https:\/\/www.arffinancial.com\/development\/why-lenders-want-to-see-your-bank-statements\/","title":{"rendered":"Why Lenders Want to See Your Bank Statements"},"content":{"rendered":"

 <\/p>\n

\"Bank<\/p>\n

Bank Statements<\/h2>\n

As you\u2019re getting ready to embark on the application process for a restaurant business loan<\/a>, you\u2019ll soon realize all the paperwork necessary to get approved by a lender. There are a lot of requirements you\u2019ll have to meet as a loan-seeking small business owner, namely because business loans are riskier for a lender, so eligibility is stricter than it is for a personal loan. Typically, you\u2019ll spend lots of time gathering a range of financial documents and information to complete the application. Lenders are interested in your credit score, how long you\u2019ve been in business, and your annual revenue, among other things<\/a>. Requirements may vary from lender to lender, however there is one single item you can pretty much bet will be necessary no matter who you apply with: your bank statements. But why are lenders so interested in these? Let us explain\u2026<\/p>\n

Typically, a lender is going to want to see at least three months of bank statements. According to Forbes<\/a>, there\u2019s a perfectly reasonable explanation for this: \u201cTo confirm the accuracy of your accounting documents, lenders will typically request copies of your business\u2019s bank statements for a specific period of time. This will give them an idea of your cash flow and how well you handle your money.\u201d<\/p>\n

There are three basic things lenders are going to be looking at on your bank statements:<\/p>\n

Your Business\u2019s Name<\/strong><\/h2>\n

We should clarify\u2014your business\u2019s registered<\/em> name. It\u2019s critical that lenders see your bank statements are in your business\u2019s registered name (or \u201cDoing Business As<\/a>\u201d name) in order to prove these are your business\u2019s<\/em> bank statements and not your personal ones.<\/p>\n

Your Bank\u2019s Name<\/strong><\/h2>\n

This one is pretty obvious, but bank statements prove your money is being taken care of by a credible, official banking institution.<\/p>\n

You Included Everything<\/strong><\/h2>\n

Lenders, believe it or not, are looking at each page of your bank statements\u2014not just the first one. They\u2019re checking to make sure you\u2019ve included the entire document and haven\u2019t altered it in any way. If you\u2019ve excluded a page, changed some unfavorable numbers, or edited any information whatsoever, they\u2019ll find it (and there goes your shot at a loan).<\/p>\n

That can\u2019t be everything they\u2019re looking for, right? Of course not! The most important information requires a little more digging. First, a lender is going to want to see your average balance: What\u2019s going in and out of your account. They need to see you\u2019re keeping sufficient funds in your account and maintaining a healthy average balance, which gives them more confidence you\u2019ll be able to pay them back.<\/p>\n

Next up, lenders are checking that you keep non-sufficient funds and overdrafts to a minimum (or you don\u2019t have them at all). If you frequently have NSFs or overdrafts, this means you likely won\u2019t be able to handle a regular loan payment.<\/p>\n

Daily deposits are another important item lenders will be checking for on your bank statements. Businesses making regular deposits are showing signs that business is doing well. On the flip side, infrequent activity and deposits display your business is not on the upswing.<\/p>\n

Finally, a lender may be looking to see if you have any recurring withdrawals in your account. Frequent, regular withdrawals may suggest you are making payments to another lender, which puts the potential lender in a risky spot called a \u201csecond position.\u201d Second-position lending is not always a deal breaker, but it\u2019s something to be aware of.<\/p>\n

When it comes to handing over your bank statements, there are many reasons a lender wants to see them\u2014and it all boils down to how risky the numbers make it to loan your business money. If you\u2019re in the market for a restaurant business loan<\/a>, ARF Financial can help decide which is right for you. We offer quick approvals, easy terms, fixed payments, and your very own personal loan consultant. Get in touch today<\/a>!<\/p>\n","protected":false},"excerpt":{"rendered":"

  Bank Statements As you\u2019re getting ready to embark on…<\/p>\n","protected":false},"author":5,"featured_media":30776,"comment_status":"closed","ping_status":"closed","sticky":false,"template":"","format":"standard","meta":{"content-type":"","om_disable_all_campaigns":false,"footnotes":""},"categories":[128,698],"tags":[219,220,116,117,224],"class_list":{"0":"post-30774","1":"post","2":"type-post","3":"status-publish","4":"format-standard","5":"has-post-thumbnail","7":"category-day-to-day-business-operations","8":"category-small-business-financing","9":"tag-bridge-loans","10":"tag-flex-pay-loans","11":"tag-restaurant-financing","12":"tag-restaurant-loans","13":"tag-small-business-financing"},"acf":[],"yoast_head":"\nWhy Lenders Want to See Your Bank Statements - ARF Financial<\/title>\n<meta name=\"description\" content=\"Lenders need your bank statements to get an idea of your cash flow and how well you handle your money. It will also confirm the accuracy of your accounting.\" \/>\n<meta name=\"robots\" content=\"index, follow, max-snippet:-1, max-image-preview:large, max-video-preview:-1\" \/>\n<link rel=\"canonical\" href=\"https:\/\/www.arffinancial.com\/development\/why-lenders-want-to-see-your-bank-statements\/\" \/>\n<meta property=\"og:locale\" content=\"en_US\" \/>\n<meta property=\"og:type\" content=\"article\" \/>\n<meta property=\"og:title\" content=\"Why Lenders Want to See Your Bank Statements - ARF Financial\" \/>\n<meta property=\"og:description\" content=\"Lenders need your bank statements to get an idea of your cash flow and how well you handle your money. It will also confirm the accuracy of your accounting.\" \/>\n<meta property=\"og:url\" content=\"https:\/\/www.arffinancial.com\/development\/why-lenders-want-to-see-your-bank-statements\/\" \/>\n<meta property=\"og:site_name\" content=\"ARF Financial\" \/>\n<meta property=\"article:published_time\" content=\"2018-10-31T15:57:44+00:00\" \/>\n<meta property=\"article:modified_time\" content=\"2021-02-18T19:16:19+00:00\" \/>\n<meta property=\"og:image\" content=\"https:\/\/www.arffinancial.com\/development\/wp-content\/uploads\/2018\/10\/Bank-Statements-2-10312018.jpg\" \/>\n\t<meta property=\"og:image:width\" content=\"1024\" \/>\n\t<meta property=\"og:image:height\" content=\"512\" \/>\n\t<meta property=\"og:image:type\" content=\"image\/jpeg\" \/>\n<meta name=\"author\" content=\"Robert Whited\" \/>\n<meta name=\"twitter:card\" content=\"summary_large_image\" \/>\n<meta name=\"twitter:label1\" content=\"Written by\" \/>\n\t<meta name=\"twitter:data1\" content=\"Robert Whited\" \/>\n\t<meta name=\"twitter:label2\" content=\"Est. reading time\" \/>\n\t<meta name=\"twitter:data2\" content=\"3 minutes\" \/>\n<script type=\"application\/ld+json\" class=\"yoast-schema-graph\">{\"@context\":\"https:\/\/schema.org\",\"@graph\":[{\"@type\":\"Article\",\"@id\":\"https:\/\/www.arffinancial.com\/development\/why-lenders-want-to-see-your-bank-statements\/#article\",\"isPartOf\":{\"@id\":\"https:\/\/www.arffinancial.com\/development\/why-lenders-want-to-see-your-bank-statements\/\"},\"author\":{\"name\":\"Robert Whited\",\"@id\":\"https:\/\/www.arffinancial.com\/development\/#\/schema\/person\/ab727372fcd4ff548d759472b7c7fecc\"},\"headline\":\"Why Lenders Want to See Your Bank Statements\",\"datePublished\":\"2018-10-31T15:57:44+00:00\",\"dateModified\":\"2021-02-18T19:16:19+00:00\",\"mainEntityOfPage\":{\"@id\":\"https:\/\/www.arffinancial.com\/development\/why-lenders-want-to-see-your-bank-statements\/\"},\"wordCount\":683,\"publisher\":{\"@id\":\"https:\/\/www.arffinancial.com\/development\/#organization\"},\"image\":{\"@id\":\"https:\/\/www.arffinancial.com\/development\/why-lenders-want-to-see-your-bank-statements\/#primaryimage\"},\"thumbnailUrl\":\"https:\/\/www.arffinancial.com\/development\/wp-content\/uploads\/2018\/10\/Bank-Statements-2-10312018.jpg\",\"keywords\":[\"bridge loans\",\"flex pay loans\",\"restaurant financing\",\"restaurant loans\",\"small business financing\"],\"articleSection\":[\"Day-to-Day Business Operations\",\"Small Business Financing\"],\"inLanguage\":\"en-US\"},{\"@type\":\"WebPage\",\"@id\":\"https:\/\/www.arffinancial.com\/development\/why-lenders-want-to-see-your-bank-statements\/\",\"url\":\"https:\/\/www.arffinancial.com\/development\/why-lenders-want-to-see-your-bank-statements\/\",\"name\":\"Why Lenders Want to See Your Bank Statements - ARF Financial\",\"isPartOf\":{\"@id\":\"https:\/\/www.arffinancial.com\/development\/#website\"},\"primaryImageOfPage\":{\"@id\":\"https:\/\/www.arffinancial.com\/development\/why-lenders-want-to-see-your-bank-statements\/#primaryimage\"},\"image\":{\"@id\":\"https:\/\/www.arffinancial.com\/development\/why-lenders-want-to-see-your-bank-statements\/#primaryimage\"},\"thumbnailUrl\":\"https:\/\/www.arffinancial.com\/development\/wp-content\/uploads\/2018\/10\/Bank-Statements-2-10312018.jpg\",\"datePublished\":\"2018-10-31T15:57:44+00:00\",\"dateModified\":\"2021-02-18T19:16:19+00:00\",\"description\":\"Lenders need your bank statements to get an idea of your cash flow and how well you handle your money. It will also confirm the accuracy of your accounting.\",\"breadcrumb\":{\"@id\":\"https:\/\/www.arffinancial.com\/development\/why-lenders-want-to-see-your-bank-statements\/#breadcrumb\"},\"inLanguage\":\"en-US\",\"potentialAction\":[{\"@type\":\"ReadAction\",\"target\":[\"https:\/\/www.arffinancial.com\/development\/why-lenders-want-to-see-your-bank-statements\/\"]}]},{\"@type\":\"ImageObject\",\"inLanguage\":\"en-US\",\"@id\":\"https:\/\/www.arffinancial.com\/development\/why-lenders-want-to-see-your-bank-statements\/#primaryimage\",\"url\":\"https:\/\/www.arffinancial.com\/development\/wp-content\/uploads\/2018\/10\/Bank-Statements-2-10312018.jpg\",\"contentUrl\":\"https:\/\/www.arffinancial.com\/development\/wp-content\/uploads\/2018\/10\/Bank-Statements-2-10312018.jpg\",\"width\":1024,\"height\":512,\"caption\":\"Bank Statements\"},{\"@type\":\"BreadcrumbList\",\"@id\":\"https:\/\/www.arffinancial.com\/development\/why-lenders-want-to-see-your-bank-statements\/#breadcrumb\",\"itemListElement\":[{\"@type\":\"ListItem\",\"position\":1,\"name\":\"Home\",\"item\":\"https:\/\/www.arffinancial.com\/development\/\"},{\"@type\":\"ListItem\",\"position\":2,\"name\":\"Why Lenders Want to See Your Bank Statements\"}]},{\"@type\":\"WebSite\",\"@id\":\"https:\/\/www.arffinancial.com\/development\/#website\",\"url\":\"https:\/\/www.arffinancial.com\/development\/\",\"name\":\"ARF Financial\",\"description\":\"Businesses Bank on Us\",\"publisher\":{\"@id\":\"https:\/\/www.arffinancial.com\/development\/#organization\"},\"potentialAction\":[{\"@type\":\"SearchAction\",\"target\":{\"@type\":\"EntryPoint\",\"urlTemplate\":\"https:\/\/www.arffinancial.com\/development\/?s={search_term_string}\"},\"query-input\":{\"@type\":\"PropertyValueSpecification\",\"valueRequired\":true,\"valueName\":\"search_term_string\"}}],\"inLanguage\":\"en-US\"},{\"@type\":\"Organization\",\"@id\":\"https:\/\/www.arffinancial.com\/development\/#organization\",\"name\":\"ARF Financial LLC\",\"url\":\"https:\/\/www.arffinancial.com\/development\/\",\"logo\":{\"@type\":\"ImageObject\",\"inLanguage\":\"en-US\",\"@id\":\"https:\/\/www.arffinancial.com\/development\/#\/schema\/logo\/image\/\",\"url\":\"https:\/\/www.arffinancial.com\/development\/wp-content\/uploads\/2018\/06\/ARFFinancialHorizontal.png\",\"contentUrl\":\"https:\/\/www.arffinancial.com\/development\/wp-content\/uploads\/2018\/06\/ARFFinancialHorizontal.png\",\"width\":792,\"height\":612,\"caption\":\"ARF Financial LLC\"},\"image\":{\"@id\":\"https:\/\/www.arffinancial.com\/development\/#\/schema\/logo\/image\/\"}},{\"@type\":\"Person\",\"@id\":\"https:\/\/www.arffinancial.com\/development\/#\/schema\/person\/ab727372fcd4ff548d759472b7c7fecc\",\"name\":\"Robert Whited\",\"image\":{\"@type\":\"ImageObject\",\"inLanguage\":\"en-US\",\"@id\":\"https:\/\/www.arffinancial.com\/development\/#\/schema\/person\/image\/\",\"url\":\"https:\/\/secure.gravatar.com\/avatar\/c48be6a0ddfcae4b85fd444fdab27d247b8fef19292a5249b0340af7e31ea9a5?s=96&d=mm&r=g\",\"contentUrl\":\"https:\/\/secure.gravatar.com\/avatar\/c48be6a0ddfcae4b85fd444fdab27d247b8fef19292a5249b0340af7e31ea9a5?s=96&d=mm&r=g\",\"caption\":\"Robert Whited\"},\"url\":\"https:\/\/www.arffinancial.com\/development\/author\/robert\/\"}]}<\/script>\n<!-- \/ Yoast SEO plugin. -->","yoast_head_json":{"title":"Why Lenders Want to See Your Bank Statements - ARF Financial","description":"Lenders need your bank statements to get an idea of your cash flow and how well you handle your money. It will also confirm the accuracy of your accounting.","robots":{"index":"index","follow":"follow","max-snippet":"max-snippet:-1","max-image-preview":"max-image-preview:large","max-video-preview":"max-video-preview:-1"},"canonical":"https:\/\/www.arffinancial.com\/development\/why-lenders-want-to-see-your-bank-statements\/","og_locale":"en_US","og_type":"article","og_title":"Why Lenders Want to See Your Bank Statements - ARF Financial","og_description":"Lenders need your bank statements to get an idea of your cash flow and how well you handle your money. It will also confirm the accuracy of your accounting.","og_url":"https:\/\/www.arffinancial.com\/development\/why-lenders-want-to-see-your-bank-statements\/","og_site_name":"ARF Financial","article_published_time":"2018-10-31T15:57:44+00:00","article_modified_time":"2021-02-18T19:16:19+00:00","og_image":[{"width":1024,"height":512,"url":"https:\/\/www.arffinancial.com\/development\/wp-content\/uploads\/2018\/10\/Bank-Statements-2-10312018.jpg","type":"image\/jpeg"}],"author":"Robert Whited","twitter_card":"summary_large_image","twitter_misc":{"Written by":"Robert Whited","Est. reading time":"3 minutes"},"schema":{"@context":"https:\/\/schema.org","@graph":[{"@type":"Article","@id":"https:\/\/www.arffinancial.com\/development\/why-lenders-want-to-see-your-bank-statements\/#article","isPartOf":{"@id":"https:\/\/www.arffinancial.com\/development\/why-lenders-want-to-see-your-bank-statements\/"},"author":{"name":"Robert Whited","@id":"https:\/\/www.arffinancial.com\/development\/#\/schema\/person\/ab727372fcd4ff548d759472b7c7fecc"},"headline":"Why Lenders Want to See Your Bank Statements","datePublished":"2018-10-31T15:57:44+00:00","dateModified":"2021-02-18T19:16:19+00:00","mainEntityOfPage":{"@id":"https:\/\/www.arffinancial.com\/development\/why-lenders-want-to-see-your-bank-statements\/"},"wordCount":683,"publisher":{"@id":"https:\/\/www.arffinancial.com\/development\/#organization"},"image":{"@id":"https:\/\/www.arffinancial.com\/development\/why-lenders-want-to-see-your-bank-statements\/#primaryimage"},"thumbnailUrl":"https:\/\/www.arffinancial.com\/development\/wp-content\/uploads\/2018\/10\/Bank-Statements-2-10312018.jpg","keywords":["bridge loans","flex pay loans","restaurant financing","restaurant loans","small business financing"],"articleSection":["Day-to-Day Business Operations","Small Business Financing"],"inLanguage":"en-US"},{"@type":"WebPage","@id":"https:\/\/www.arffinancial.com\/development\/why-lenders-want-to-see-your-bank-statements\/","url":"https:\/\/www.arffinancial.com\/development\/why-lenders-want-to-see-your-bank-statements\/","name":"Why Lenders Want to See Your Bank Statements - ARF Financial","isPartOf":{"@id":"https:\/\/www.arffinancial.com\/development\/#website"},"primaryImageOfPage":{"@id":"https:\/\/www.arffinancial.com\/development\/why-lenders-want-to-see-your-bank-statements\/#primaryimage"},"image":{"@id":"https:\/\/www.arffinancial.com\/development\/why-lenders-want-to-see-your-bank-statements\/#primaryimage"},"thumbnailUrl":"https:\/\/www.arffinancial.com\/development\/wp-content\/uploads\/2018\/10\/Bank-Statements-2-10312018.jpg","datePublished":"2018-10-31T15:57:44+00:00","dateModified":"2021-02-18T19:16:19+00:00","description":"Lenders need your bank statements to get an idea of your cash flow and how well you handle your money. It will also confirm the accuracy of your accounting.","breadcrumb":{"@id":"https:\/\/www.arffinancial.com\/development\/why-lenders-want-to-see-your-bank-statements\/#breadcrumb"},"inLanguage":"en-US","potentialAction":[{"@type":"ReadAction","target":["https:\/\/www.arffinancial.com\/development\/why-lenders-want-to-see-your-bank-statements\/"]}]},{"@type":"ImageObject","inLanguage":"en-US","@id":"https:\/\/www.arffinancial.com\/development\/why-lenders-want-to-see-your-bank-statements\/#primaryimage","url":"https:\/\/www.arffinancial.com\/development\/wp-content\/uploads\/2018\/10\/Bank-Statements-2-10312018.jpg","contentUrl":"https:\/\/www.arffinancial.com\/development\/wp-content\/uploads\/2018\/10\/Bank-Statements-2-10312018.jpg","width":1024,"height":512,"caption":"Bank Statements"},{"@type":"BreadcrumbList","@id":"https:\/\/www.arffinancial.com\/development\/why-lenders-want-to-see-your-bank-statements\/#breadcrumb","itemListElement":[{"@type":"ListItem","position":1,"name":"Home","item":"https:\/\/www.arffinancial.com\/development\/"},{"@type":"ListItem","position":2,"name":"Why Lenders Want to See Your Bank Statements"}]},{"@type":"WebSite","@id":"https:\/\/www.arffinancial.com\/development\/#website","url":"https:\/\/www.arffinancial.com\/development\/","name":"ARF Financial","description":"Businesses Bank on Us","publisher":{"@id":"https:\/\/www.arffinancial.com\/development\/#organization"},"potentialAction":[{"@type":"SearchAction","target":{"@type":"EntryPoint","urlTemplate":"https:\/\/www.arffinancial.com\/development\/?s={search_term_string}"},"query-input":{"@type":"PropertyValueSpecification","valueRequired":true,"valueName":"search_term_string"}}],"inLanguage":"en-US"},{"@type":"Organization","@id":"https:\/\/www.arffinancial.com\/development\/#organization","name":"ARF Financial LLC","url":"https:\/\/www.arffinancial.com\/development\/","logo":{"@type":"ImageObject","inLanguage":"en-US","@id":"https:\/\/www.arffinancial.com\/development\/#\/schema\/logo\/image\/","url":"https:\/\/www.arffinancial.com\/development\/wp-content\/uploads\/2018\/06\/ARFFinancialHorizontal.png","contentUrl":"https:\/\/www.arffinancial.com\/development\/wp-content\/uploads\/2018\/06\/ARFFinancialHorizontal.png","width":792,"height":612,"caption":"ARF Financial LLC"},"image":{"@id":"https:\/\/www.arffinancial.com\/development\/#\/schema\/logo\/image\/"}},{"@type":"Person","@id":"https:\/\/www.arffinancial.com\/development\/#\/schema\/person\/ab727372fcd4ff548d759472b7c7fecc","name":"Robert Whited","image":{"@type":"ImageObject","inLanguage":"en-US","@id":"https:\/\/www.arffinancial.com\/development\/#\/schema\/person\/image\/","url":"https:\/\/secure.gravatar.com\/avatar\/c48be6a0ddfcae4b85fd444fdab27d247b8fef19292a5249b0340af7e31ea9a5?s=96&d=mm&r=g","contentUrl":"https:\/\/secure.gravatar.com\/avatar\/c48be6a0ddfcae4b85fd444fdab27d247b8fef19292a5249b0340af7e31ea9a5?s=96&d=mm&r=g","caption":"Robert Whited"},"url":"https:\/\/www.arffinancial.com\/development\/author\/robert\/"}]}},"menu_order":0,"_links":{"self":[{"href":"https:\/\/www.arffinancial.com\/development\/wp-json\/wp\/v2\/posts\/30774","targetHints":{"allow":["GET"]}}],"collection":[{"href":"https:\/\/www.arffinancial.com\/development\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/www.arffinancial.com\/development\/wp-json\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/www.arffinancial.com\/development\/wp-json\/wp\/v2\/users\/5"}],"replies":[{"embeddable":true,"href":"https:\/\/www.arffinancial.com\/development\/wp-json\/wp\/v2\/comments?post=30774"}],"version-history":[{"count":1,"href":"https:\/\/www.arffinancial.com\/development\/wp-json\/wp\/v2\/posts\/30774\/revisions"}],"predecessor-version":[{"id":36022,"href":"https:\/\/www.arffinancial.com\/development\/wp-json\/wp\/v2\/posts\/30774\/revisions\/36022"}],"wp:featuredmedia":[{"embeddable":true,"href":"https:\/\/www.arffinancial.com\/development\/wp-json\/wp\/v2\/media\/30776"}],"wp:attachment":[{"href":"https:\/\/www.arffinancial.com\/development\/wp-json\/wp\/v2\/media?parent=30774"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/www.arffinancial.com\/development\/wp-json\/wp\/v2\/categories?post=30774"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/www.arffinancial.com\/development\/wp-json\/wp\/v2\/tags?post=30774"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}