Their algorithm couldn’t make sense of my side gig deposits, so everything stalled. I’ve started keeping a spreadsheet that matches every deposit to an invoice, just in case. Still, it feels like overkill.
I get where you’re coming from—when I refinanced last year, I went all-in on documentation too. Pulled together bank statements, invoices, even a letter from my accountant explaining the random lump sums. It felt like overkill at first, but honestly, it sped things up once the underwriter started asking questions. They still found a couple things to question (like a Venmo transfer from a friend that looked “business-y”), but having everything lined up made it easier to explain.
One thing I wish I’d done differently: flagged any unusual deposits ahead of time with a quick note or email to the loan officer. Saved some back-and-forth later. Curious if anyone’s had luck with lenders who actually “get” self-employed income, or is it always this much of a hassle?
Honestly, it does feel like overkill at times, but you’re not alone. I had to go back and explain a bunch of random deposits, too—one was literally a birthday gift from my aunt that got flagged. The spreadsheet is a pain, but it’s saved me more than once when the lender started nitpicking. It’s wild how little flexibility some of these banks have for folks with non-traditional income streams. If it helps, it gets easier to track once you’ve done it a couple times. Hang in there.
Honestly, I get the frustration with all the documentation, but I’d push back a bit on the idea that spreadsheets are the only way. Some lenders in Dallas are starting to accept digital bank statements and even third-party income verification tools. It’s not perfect, but it can cut down on the manual tracking. I’ve seen clients with side gigs or freelance work have better luck when they proactively provide a letter explaining their income sources upfront—sometimes that heads off the endless questions about random deposits. Worth a shot if you’re tired of spreadsheet life.
I’ve seen clients with side gigs or freelance work have better luck when they proactively provide a letter explaining their income sources upfront—sometimes that heads off the endless questions about random deposits.
That’s actually worked for me, too. I refinanced last year and my lender was way less picky once I sent a simple letter outlining my side hustle income. Still had to answer a couple of weird questions about Venmo payments, but it made things smoother overall. Digital statements definitely beat the spreadsheet grind.
Honestly, I had the opposite experience during my last refi—my lender wanted every single detail about my side gigs, even with a letter. They grilled me on PayPal transfers from stuff I sold on eBay, which felt over the top. Still, once I sent them screenshots and a breakdown, things moved faster. Guess it really depends on who you get at the bank... some folks are just more nitpicky than others. Digital statements definitely saved me from digging through old boxes of receipts, though.
