Which document is most likely to be requested by a bank to support a housing loan application?

• A. His latest P60.
• B. 6 months business accounts statements.
• C. His tax clearance certificate.
• D. Memorandum of Association.

Answer: (A)

The main idea here is proving ongoing income to show the borrower can repay the loan. A P60 provides an official record of an employee’s annual earnings and tax deducted for the year, giving the bank a clear picture of salary stability and level. This helps the lender assess affordability and serviceability for a housing loan. The other documents don’t serve the same purpose: business account statements are relevant mainly for self-employed or business-buy scenarios, a tax clearance certificate shows tax compliance rather than regular income, and a Memorandum of Association is a corporate document and not related to an individual’s loan repayment capacity.