Approved on Day ONE of Her New Job
A flawless credit history is a powerful tool, but it is only one piece of the puzzle. If you want to get a loan, you also have to prove you have a stable income.
For most major banks, stable means you have been working full-time at your current job for at least 3 to 6 months. If you are in your probation period, they will often just decline your application.
But what if you need the vehicle now?
This week’s case study shows exactly how knowing specific lender policies can save a deal, even if you haven’t even clocked in for your first shift yet.
Scenario
A customer from Bellmere, just near the Sunshine Coast, reached out to us looking for $10,000 to buy a motorbike.
On paper, she had a strong profile:
- Credit Score: 820 (Outstanding).
- Assets: $7k in savings and owns a $50k Isuzu D-Max outright.
- Other Debts: Just an Afterpay account and a small personal loan.
The Challenge
When she contacted us she was technically in between jobs.
There was income still coming in from a small side hustle, but this was not enough to support the loan repayments.
She had just signed a contract for a new full-time role, but her first day wasn’t until the following week.
Most lenders would disqualify someone not employed on the day of the application, and many also require minimum tenure that could take months to satisfy.
But we knew there were options available.
The Gusto Strategy
Some lenders will accept an application where the borrower has been in their new job for as little as one day.
So the plan was to hold back on a formal application until the following week until the job had officially started.
The lender would complete an employment check to confirm the situation and approval should follow.
Except for one complication…
The motorbike was a 2019 model which was outside of the criteria for acceptable loan security for this particular lender.
While we can generally finance cars that are up to 15 years old, timeframes are often much shorter for motorbikes.
So we had no choice but to opt for an unsecured personal loan.
The Result
The lender approved the bike loan without further issue.
Despite the combination of potentially high risk factors, the loan was approved with a competitive rate in the low teens.
When you consider the short employment tenure and the older bike this is a strong result, and she didn’t have to wait 6 months to hit the road.
The Takeaway
Changing jobs doesn’t need to delay your plans to get some new wheels.
The auto lending market has a range of flexible options if you know where to look.
Whether you need a car, a motorbike, or equipment for your business, and the team at Gusto matches your unique situation with the exact lender policy that fits.