Loan Documentation

UMPC News

Before the bank issues you a check, you'll need to supply stacks and stacks of supporting papers.

For major loans, such as a mortgage, it may seem like you'll have to put together a book of your financial life. With smaller loans, the lender's requests might not be as overwhelming. But in all cases, you will have to provide some documentation.

Here's a look at the items you'll need to collect for your loan officer.

  • Tax returns from the last two years, along with accompanying W2s
  • Tax returns from the last three years if self employed
  • Letter of employment
  • Most-recent statements for your credit card accounts
  • Documentation of current outstanding home, auto, school or other loans.
  • If you ar selling your current home, then you will need the contract for the purchase of your home.
  • If you are currently renting, bring evidence of your current rent payment amount (this could include cancelled checks)
  • Letter of assessment
  • Bank and brokerage account statements for the previous three months
  • Titles for any cars you own
  • Divorce or legal separation documents
  • Award letter and copy of payment from any legal settlement.
  • Latest check from Social Security if receiving retirement or disability payments

Mortgage

Again, proof of income tops the lender's documentation list: tax returns, letter of employment, W2s, etc. You'll also be asked to provide a complete listing of assets and liabilities.

Then you'll have to get your mortgage lender a legal description of the property, a completed title search, a survey of the property and proof of insurance, the purchase contract, MLS listing, and realtor's business card.

Auto loan

In addition to income documentation, you'll need to provide your lender with transfer of title papers.

Personal loan

The documentation required by a lender in these cases generally depends on the amount of the personal loan. Generally, lenders require more paperwork for loans of $5,000 or more.

This can include income information (W2s, letter of employment, income tax returns), the most-recent statements from your credit companies and details of any outstanding loans, stocks, bonds, mutual funds, CDs, residential real estate, cash or marketable securities. Cars are not usually considered collateral.