NGS Capital Partners helps Aussies of all circumstances get into the right car loan the right way, and when it comes to bank statements, we know what can really make a big difference.


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  • Bank statements affect car loans in many different ways as they paint a picture of your money management
  • Typically, you’ll need to provide 3 months of bank statements (sometimes more)
  • Cash withdrawals, irregular deposits and frivolous spending can negatively affect a car loan outcome
  • There are a few things you can do to polish your bank statements like avoiding cash withdrawals

Bank statements explained

As a clear record of all your transactions (incoming and outgoing and with dates and times), bank statements give a snapshot of your money habits.

They can often paint a picture of the type of lifestyle a car loan applicant lives too. For example, big cash withdrawals every Friday night might raise eyebrows, whereas regular rent payments and contributions to savings can indicate a low-risk applicant.

Bank statements also contain other financial information, such as:

  • Your cash balance
  • Payments
  • Interest earned
  • Bank service fees
  • Any regular payments (eg. another loan)
  • Money transfers and the descriptions you attach

Chances are you’ll need three months of bank statements – but that could be a blessing in disguise.

What lenders look for in bank statements

Bank statements affect car loans because lending institutions (eg. banks) want to make sure that applicants have surplus income to repay the loan comfortably.

Your bank statements affect car loans in a lot of ways from approval and even interest rates.

Here are a few things that lenders typically check when looking at bank statements:

Note that lenders understand that with a new loan, your situation may change, for example, someone’s existing car loan might cease as they plan to sell their current car which could free up funds for a new loan.


This means a bank account goes into the negatives, usually because there aren’t enough funds for a scheduled (or automated) payment.

For example, someone might have $40 remaining in their account when a $50 automated phone bill payment comes along.

You’ll want to avoid any overdraft.

Bank statements show if someone has other loans, even private loans with friends and family. Someone might be making regular repayments to their parents for example, and these show up on bank statements.

Lenders want to make sure they can assess an applicant’s situation accurately.

Hint: square away any of these loans before applying for a car loan as best you can.

Of course, this is comparative to someone’s income so there’s no one-size fits all approach but lenders want to make sure their clients can repay a loan without having to make too many sacrifices to their current lifestyle.

Things like regular big purchases, gambling and frivolous spending that significantly eat into someone’s income can reduce their ability to make loan repayments – unless they change their lifestyle. Lenders don’t want their clients having to alter their lifestyles too much.

Polish your bank statements

Like we mentioned above, there’s a silver lining to bank statements. Here are a few things you can do to make sure your chances of approval are as high as possible.

In the lead up to getting a car loan…

Lenders don’t like seeing cash withdrawals on bank statements as there’s no way of telling where the money is going.

Try to make as many purchases by card as possible so that there’s a clear record.

Be careful with transfers and descriptions

Did you know that each time you send someone money, no matter the amount, it’s recorded on your bank statements?

It’s true and includes the descriptions you add too. Make sure to label any transfers accurately and professionally.

Since you’re (hopefully) not using cash in the lead up to getting a loan, any gambling will likely show up in your bank statements.

This includes payments (transfers) to betting or lottery platforms for example.

How much or how regularly someone gambles is, like spending habits, assessed in relation to income and expenses but be safe and minimise it in the lead up to getting a loan.

Many people are surprised by just how many scheduled payments they have each month. These can include streaming and gaming services, gym memberships and other forms of entertainment.

Have a think about where your money goes, especially subscriptions you pay for – are they all necessary? You might be able to cut down on a few and free up income.

The bottomline on bank statements

Since bank statements play such an important role in car loans, it’s a good idea to be on top of yours.

Do what you can to polish your bank statements and you’ll be on your way to a car loan with great options.

Ready to get started? A quick quote can get you on the path to your next car quickly and confidently.


Other bank statement questions answered

It’s easy. We’ll provide you with a secure link to our portal so you’ll simply need to log in and follow the prompts.

There’s no need to print anything or go into a bank branch.

You’re not alone. Many people have trouble polishing their bank statements and getting on top of their finances. A great idea is to contact your bank and any provider whom you owe money to and discuss options.

Otherwise, talk to a professional about your money matters – it can really help.

Technically no, but if you have bad (or good) money habits, it can reflect in both your bank statements and your credit score.

One of the worst things is guessing and not knowing. Give us a shout to discuss your options, find out where you currently stand and get an idea of where to aim for.

You might be pleasantly surprised.

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