What is required
1) One pay stub
Why is this needed:
- pay stubs are used to show the lender your year to date income total, that your are currently being paid, your income is consistent with each pay and that there are source deductions.
If you are unsure if you are receiving acting pay, you can tell if your pay stub notes 'Acting Pay'.
Click here to see a sample of a pay stub noting Acting Pay.
2) Acting Pay letter
If you are receiving Acting Pay the lender will require a letter from your employer confirming your regular annual salary and when your acting pay ends.
Click here to see a sample substantive letter of employment.
1) Verbal confirmation with employer
Lenders may call your employer to do a verbal confirmation with employer.
Why is this needed:
- Many lenders will call the employer from your employer letter to confirm the details of the letter
- This call will usually take place some time prior to your closing date
- It is important that the income letter has the most convenient contact information for the person who provided it
- It is crucial that they employer is able to confirm the details of the letter of employment and that you are not on probation as any discrepancies will affect your mortgage approval
What you must know
- income documents will only be accepted if they are dated within the last 30 days
- lenders are typically not able to use income from an applicant on probation
DOES IT PASS THE TEST OR WILL IT BE REJECTED?
Is the date on my past stub within the last 30 days?
Is the date on my letter of employment within the last 30 days?
Is my letter of employment on letterhead?
Does my letter of employment have a contact name and phone number on it?
If you answered YES to all of the above, please send the document
If you answered NO to any of the above, the document will not be accepted by the lender
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