Getting a Loan Without Credit History is Possible

You came to the US to chase the American dream so your family won’t have to struggle financially ever again. The problem is you don’t have cash, and you’re an immigrant, which automatically means you …


You came to the US to chase the American dream so your family won’t have to struggle financially ever again. The problem is you don’t have cash, and you’re an immigrant, which automatically means you can’t secure a loan. Or does it?

Luckily, you can actually secure an ITIN loan without an SSN. If you’re wondering how to go about it, this guide highlights how immigrants can acquire ITIN loans without credit history or an SSN.

What are an ITIN number and ITIN loans?

You pay taxes whenever you earn money. US citizens use their SSN to file taxes. If you’re a foreigner without this SSN, does that mean whatever you earn is tax-free?

No. Uncle Sam has something up his sleeve for you, known as Individual Tax Identification Number (ITIN). This number is available to resident aliens, nonresidents, their spouses, and dependents to help in tax processing.

Therefore, lenders give these loans to borrowers without SSN but who possess an ITIN.

Reasons to get an ITIN number to get financial support

The main reason you would want to get an ITIN is the financial opportunities it affords you. Since you’re a taxpayer, lending institutions will look at you favorably. Here’s what you can achieve with an ITIN:

Open a bank account that earns interest

Interest on money stored in a bank account is earnings, so if you don’t have an ITIN, no financial institution will provide you an interest-bearing account. Now that you have an ITIN, save money in these account-bearing accounts and watch it work for you.

Get a mortgage

With an ITIN under your arm, you can go house hunting since some lenders are willing to offer you a mortgage. All you have to do is keep saving for the down payment and work on your credit score.

Business loan

This is the big one. You can start a small business with your savings, but you might need a business loan to expand or keep it running. If you don’t have an SSN, then the ITIN is your passport to getting a loan.

Why is it possible to get a loan without a credit history?

Because financial institutions understand that some people may have conducted very few financial transactions to appear in credit reports. This is especially true for new immigrants, but that doesn’t mean they can’t repay a loan.

An ITIN is one of the ways to give a lender confidence that you fulfill your financial obligations. If you consistently pay your taxes, pay rent in time, and resolve credit card balances in time, then you are a prime candidate for a loan without a credit history.

How this kind of loan works for entrepreneurs

To acquire ITIN loans, you must first register a “doing business as” (DBA) name with the local government. This is a business name different from your name, and it is proof that you conduct a business legally in the US.

Next, open a business bank account as it’s vital for tax and accounting purposes. In the event of a lawsuit, your personal cash will not commingle with business money. In addition, it will not affect your credit score. You can open a business account even if you’re undocumented.

Once you’ve done the above and have obtained an ITIN, apply for an ITIN loan from a relevant financial provider.

Because business banking is a basic requirement for every business, it is critical to explore the top business checking accounts for startups and entrepreneurs. A bank account is required whether you are taking out a loan to start your business or banking your daily revenue. Here is a list of the best business bank accounts in the US.

List of ways to get financial support for your business

Family and friends: they can chip in to give your business the boost it requires.

Crowdfunding: pitch your awesome business ideas on a crowdfunding platform such as Kickstarter. If it’s a great idea, you can score big, such as Star Citizen, which initially raised more than $40 million even though the target was $2 million.

Venture capital: these companies specialize in investing in businesses facing financial hardships. They primarily study companies with a record of accomplishment and gauge their chances of profitability before investing.

Angel investment: very similar to venture capital, but they invest their own cash, and mainly in startups.

Business loan: refer to the traditional loans you get from banks or other mainstream lenders.

Alternative lenders: also known as peer-to-peer lenders, they primarily specialize in invoice buying (accounts receivable financing). They often charge high-interest rates.


You can access an ITIN loan without an SSN if you register for an ITIN and DBA and open an account for your business.

An ITIN allows you to open an interest-earning bank account, get a mortgage, and secure a business loan. Connect with Camino Financial today if you are an immigrant business owner to get the best deals on an ITIN loan.

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