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Is it a bad idea to put foodstamps as income on a loan application?

Asked by socialfly26 (212points) January 10th, 2021

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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