A Bank Statement loan is a type of alternative mortgage loan that allows borrowers to use their personal or business bank statements to demonstrate their income, rather than providing traditional income documentation such as tax returns, W-2 forms, or pay stubs.

Bank Statement loans are often beneficial to self-employed borrowers, small business owners, or individuals who have income from multiple sources but may not have the traditional income documentation required for a conventional mortgage loan.

The interest rates and fees for Bank Statement loans may be higher than traditional mortgage loans, due to the increased risk for lenders. However, Bank Statement loans can provide flexibility and access to mortgage financing for borrowers who may not qualify for traditional loans.