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Documenting Assets

If not set up properly from our initial submission to underwriting, we can be creating more work for you and for our team. Sometimes even causing delays in closing.  Documenting Assets is oftentimes the most challenging task in securing a mortgage.  That said, if we know what we need upfront, it will make the whole process a lot smother than only sending it bits and pieces.

Copy of the FRONT and BACK of your Cancelled Earnest Money Check:

  • You will only be able to get a copy of this after the check is “Cancelled” which means cashed by the seller’s trust account.  Your online checking account will have the option to view the front and the back, or you can get a copy at the bank.  If it’s not cashed yet we can still proceed but will need the copy as soon as it is available.  A common mistake is sending a copy of only the front of the check.  Both the FRONT and BACK are required.  The back usually has a stamp with a set of numbers on it.

Last Two Months Bank Statements for ALL accounts *ALL PAGES*:

  • A common mistake is sending all pages except the last page because it says “this page was left intentionally blank”.  Even if it says “This page was left intentionally blank” it is still needed otherwise it is considered an incomplete statement and the assets cannot be used.  Another common mistake is only sending the odd pages because the statement was double sided and only one side was faxed or scanned.  Another common mistake is logging into online banking and printing a transaction history.   Please verify the following when sending Bank Statements: Your FULL account number shows (not just the last 4 digits like this: ********0412); Your statement has your banks full name and logo; All account holders names and addresses are shown; A statement shows “Page 1 of X” on the first page and verify that X pages are included.
  • *IMPORTANT* ALL Deposits have to be explained due to government regulation.  If there are any deposits into the bank account, and they are listed on the statement provided, please email us a detailed explanation for all non-direct-deposit-payroll deposits so we can provide that to the underwriter.

Most recent Retirement Account Statement and Terms of Withdrawal (TOW):

  • If you receive quarterly statements send your most recent statement.  If you receive statements monthly send your last two(2).  Please see #2 “Bank Statements” above for what is acceptable for a statement and what is unusable for underwriting purposes.  Terms of Withdrawal (TOW) is a disclosure of what happens when you take money out of your retirement account.  It describes penalties and fees charged when money is withdrawn.  It is usually several pages and is also usually located in your online account.  If you cannot find the TOW the account will not be able to be used you may become ineligible for the loan.  If you do not have a copy and cannot find a copy online, the best way to get your TOW is to give your account holder a call and request it.  It is best to get one emailed or faxed as they tend to take over week when mailed.  This could cause delays in your closing.

Is your downpayment coming from a Gift?  Are you receiving a gift of any kind?

Are there any deposits into your Bank Accounts that do not come from direct deposit payroll?

  • ALL Deposits have to be explained due to government regulation.  If there are any deposits into the bank account, and they are listed on the statement provided, please email us a detailed explanation for all non-direct-deposit-payroll deposits so we can provide that to the underwriter.

Is there someone listed on your Bank Account statement that is not going on the mortgage loan?

  • When someone is listed on a bank account they have ownership of the account.  An access letter needs to states that you have 100% access to all funds in the account.  The letter will need to be signed by the other party that is not going on the loan.  Please complete the “Joint Access LOX” found here: LOX. Typically the person on the account is a parent that helped you to open the account when you were under the age of 18.  Sometimes there is a boyfriend, girlfriend or fiancé that is listed on the account but not going on the mortgage loan too.  An access letter is required in any case of another party being listed on the statement.