Open Question to the Lending Industry?

Posted by Ben Nicolas on Tuesday, June 9th, 2009 at 2:28pm.

If all borrowers are required to sign IRS 4506-T forms that allow underwriter to verify income documentation, why do lenders require income documentation?  Shouldn't they just be able to take a signed 4506-T form get the IRS transcript and verify the income coming directly from the IRS?  Wouldn't the world be easier for loan originators and processors too if they could just order a 4506-T verification direct from the IRS covering a 2 year time period, get the transcript and divide by 24 to get the borrowers monthly income?

 

Just thinking out loud into the blogosphere...

 

 

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1 Response to "Open Question to the Lending Industry?"

John Cannata wrote: Hey Ben, I have to admit I had to look up your picture to remember the name. But yes, I do remember you. How long have you been working for IET Real Estate? Are you on ActiveRain also? Its worked out great for me. The power of AR has really helped my other sites get ranked on Google. When people can find me on the internet, it cuts down on my marketing costs. Plus I have been able to get Realtor Business that way. I hope all is going well.
John C. Posted on Tuesday, June 16th, 2009 at 4:27am.

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