Key takeaway620 is the bank statement market’s front door, most programs, most lenders, competitive shopping.
What concretely changes at 620
- 620 is the bank statement market’s front door, most programs, most lenders, competitive shopping.
- Typical structure: 10–20% down, 12 months statements, 6+ months reserves, the standard non-QM box.
- Pricing is non-QM (above conventional) but shop-able; the 620 tier is the most competitive in bank statement.
- CPA letter or business license verification of self-employment is standard at every score.
Requirements at this band
| Minimum score | 620 (mainstream programs) |
|---|---|
| Down payment | 10–20% typical |
| Statements | 12 months standard; 24 for best pricing |
| Reserves | 6+ months typical |
| Self-employment | 2 years history; CPA letter or license |
Figures are typical market ranges as of October 2026. Actual terms depend on the lender, your credit, the property and the program, and are confirmed on your Loan Estimate or term sheet.
Smart moves at 620
- At 620 you can finally compare 3+ bank statement lenders, do it.
- 24 months of statements often earns better pricing than 12.
- Keep personal and business funds separated; commingling creates underwriting headaches.
FAQ
What rate premium over conventional?
Varies by market, but bank statement pricing typically runs 1–3% above conventional, the premium shrinks as score and down payment rise.
Do I need 2 years of self-employment?
Most programs want 2 years; some allow 1 year with strong compensating factors.
Can I use 1099s instead of statements?
1099 programs are a separate track, some borrowers qualify for both; your loan officer should price each.