Self-Employed? The Banks Now Want Your 2026 Financials

October 2026

 

If you’re self-employed and planning to borrow in the next few months, banks now want your financial statements for the year ended 31 March 2026. Your 2025 figures alone are no longer enough, and if your accountant hasn’t finished the 2026 year, your application can stall.

Why Do Banks Want Your 2026 Financials Now?

Banks lend on your most recent financial position and limit how old your figures can be. The usual rule is that statements must be for a financial year ending within the last six to twelve months, depending on the lender.

 

For most self-employed New Zealanders, the financial year ends 31 March. Statements for the year to 31 March 2025 were accepted through winter, but by spring most banks will no longer rely on them as your latest evidence of income.

 

This isn’t a new policy. It’s a cycle that comes round every year, and it catches people out every spring.

What Do Banks Need From Self-Employed Borrowers?

Lenders generally want two years of financial statements to establish a trend in your income. Right now that means 2025 and 2026:

• Full financial statements: profit and loss and balance sheet, prepared by an accountant, not a summary from your accounting software.
• The 2026 year in draft or near-final form. Most banks accept drafts if they’re substantially complete and your accountant confirms no material changes are expected. Some want the finals before drawdown.
• IRD tax summaries or returns to back up the figures, plus evidence your tax is up to date.
• Business bank statements for the last few months, so the bank can see trading matches the financials.

If you trade through a company or trust, banks will typically want the entity’s financials as well as your personal income position.

The Problem: Your Accountant’s Timeline

Many accountants work to the IRD extension-of-time deadline of 31 March the following year. That means it’s normal for 2026 financials to still be in the queue in October. If you haven’t asked, they may not have been started.

 

We see it every spring. A self-employed buyer finds a property, we go to the bank, and the application stalls because the latest year isn’t ready. By the time it is, the property has gone.

What Should You Do Now?

1. Call your accountant now. Ask where your 2026 statements are and whether a draft can be ready in the next few weeks. Tell them it’s for a lending application; most will prioritise it.
2. Get your tax in order. Overdue returns or unpaid tax are red flags for a bank. Tell your adviser about any arrangements with IRD.
3. Talk to us before you find a property. We can review your draft figures, tell you what the bank is likely to accept, and identify lenders that are more flexible. Some non-bank options can work from a shorter track record or more recent interim figures.

If you’re aiming to buy or refinance before Christmas, timing matters even more. Banks wind down in early December, so the window to lodge is now through mid-November. Read why the banks close earlier than you think.

The Bigger Picture

If your 2026 year was strong, finishing those statements quickly is good news; it may lift your borrowing capacity compared with 2025. If it was weaker, it’s better to know now and plan around it than find out mid-application.

 

Either way, the sooner the paperwork is done, the more options you have.

 

Self-employed and thinking about buying or refinancing? Send us your draft financials and we’ll tell you where you stand and which lenders suit you best. Get in touch for a free, no-obligation chat.

 

This article is general information only and does not constitute financial advice. Lending criteria and documentation requirements vary between lenders and are subject to change. Kris Pedersen Mortgages recommends you seek personalised advice from a licensed financial adviser before making any decisions about your home loan.