What is the verification of the deposit?
Deposit verification is a document prepared by an individual's bank stating that it has a certain amount of funds in the bank, such as a check or savings account. These letters can be prepared after a potential debtor asks for a loan at another place lending, such as a loan for a vehicle or home. In particular, mortgage lenders will generally require verification of the deposit before the mortgage approval.
The process for obtaining a deposit is usually very simple and generally requires only a visit or phone call to the bank to ask for a letter. The bank can send the letter directly to the creditor, but may also be willing to give you a copy. The letter should be created on the official header belonging to the bank; The creditor can also make a telephone call to the bank to verify that the letter is legitimate and that there are funds. The verification of the deposit will then be kept on the Applikation loan for the future link.
The reason why a deposit verification is often required is that it allows the creditor to see that the potential debtor has the ability to back up for what happens and may indicate whether he has the ability to make monthly payments. This, in combination with a credit score and a credit report, may indicate the creditor whether the debtor is a good credit risk and is likely to pay the funds back by agreement. If the creditor finds that the debtor lied to his request for the amount of funds or the existence of certain accounts, it is likely that the creditor will reject the loan application on the spot.
Some people also use the term “deposit verification” to reference to the confirmation that the bank will grant after the customer has made a deposit on the bank's account. This is usually a paper confirmation would only be preserved after a monthly statement comes, showing that the funds are on the account and in the correct amount. Some banks also offer e -mail deposit verification and can automatically send e -mail a banking customer when the deposit is on account, or when the download is also made. This can be a good way to track your account activity.