STOP PLAYING WITH YOUR MONEY!!!!!
Some days I just want to shout at borrowers PLEASE STOP PLAYING WITH YOUR MONEY! As most seasoned loan originators I go to great length at the beginning of a loan process to collect bank statements and reinforce how important documenting transfers and deposits of funds is to their closing.
It seems more and more these days, and maybe because we overall have a more qualified home owner, borrowers have multiple accounts and they move money around between them as often as one changes one's underwear.
Even when funds can be documented, less is more in this case. If I can use one bank statement to get the job done, then I don't need to collect statements from three accounts. However, when a borrower deposits money into one account then puts part of that into another, then I need both accounts. When the borrower further moves the money from that account to a third account, then I need three accounts documented.
Add to this when those deposits are not from employment or are from a person not on the mortgage, then we need all those deposits individually documented.
Our mortgage files have grown in size for a lot of reasons, but some of the paper could be eliminated if borrowers would heed warnings and use one account. If your money to buy the home is in a savings account you DO NOT need to move it to a checking account. If you choose to do so, then all deposits in those accounts have to be documented and verified.
So, please do not play with your money when you want to buy a home. Pick an account, make sure you document deposits to that account and LEAVE IT ALONE!
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