Is it a bad idea to put foodstamps as income on a loan application?
So I have been offered a job but am required to have my own vehicle. I have been approved for financing on a vehicle but need $3600 for a down payment. I have applied for a loan of $7,500 but was denied because my debt to income ratio is just barely over the limit. I am curious if I put my $204 per month food allowance as income if that would make a difference. That would make the ratio under the limit and allow for approval but I’m concerned that the loan company could take criminal action against me if they were to find out that its not cash income. The loan officer told me that she couldn’t approve me because after my rent payment and other bills I wouldn’t have room for a loan payment. But if I could use that extra $204 as income and get approved then I could pay off my 2 fines which takes about $400 of my income now leaving plenty of room for my $136/ month car payment, $150/ month insurance payment, and $250 loan payment. plus I will be making $20,800/ year with the job. I’m officially hired as long as I can get a vehicle and my employer has been gracious enough to give me some time to figure things out because I wont be starting until March.
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That. $204 is not income, and is not discretionary. It cannot be used to service a loan on a car. So no, if you put that down, your application will get rejected.
Do you mean SNAPS? I don’t know of a food stamp program. If you have a helpful (on your side) loan processor, ask them. Most likely, no.
You don’t know of a food stamp program @YARNLADY? Seriously?
Why not, just buy a cheap car? You can get a better car later after your job is secure and you’ve saved up more money.
. The benefit I know of is called Supplemental Nutrition Assistance Program or SNAP. To my knowledge (I could be wrong) there is no such thing as food stamps.
There is a certain amount on SNAPS that is set aside for cash purchases and a certain amount set aside for food. The amount set aside for food is called “Foodstamps” by us poor people @YARNLADY.
I recieved “Food Stamps” during the 90s but no other benefit.
@Dutchess_III When the program was still called “food stamps” I was in a position to use it. That program no longer exists. What we receivid were actual “stamps” or coupons. They now get a debit card.
Yes. Called an EBT. What is your point?
What was previously called “Food Stamps” is now called “SNAP.” Recipients of SNAP get a card, much like an ATM card or a credit card. There are no more “stamps” or printed vouchers.
I’m sure the loan application will specify what can and cannot be used as income. You have to go by the guidelines provided as for what you can put down as income and what is disallowed. If you have any questions, ask the person at the dealer who handles finances.
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