R611019,'' Jan 23, 2015 One possibility for the discrepancy is that the ad delivery system and Use professional pre-built templates to fill in and sign documents online faster. The most important elements of your letter of explanation should include the following: Remember that a letter of explanation is a professional document that will go into your loan file. It just means that the lender wants to know more about your finances. Windham offers a letter of explanation sample for an address discrepancy: In response to the underwriter's request, I'm sending this letter to explain the differences in my address. The underwriter may want more information about any negative items on your credit report, such as a foreclosure. The purpose of this letter is to explain my felony conviction, and offer you reassurance that I will be an asset to your organization. You can use it as a template when you write your own letter. More rewards, less hassle. The person can communicate this professionally so that the reader will not face any confusion and so that there is no hindrance in procedures. You may write the letter when you find out that there is a discrepancy present in the document you have submitted. The information the underwriter sees doesn't always tell your entire financial story. LendingTree is compensated by companies on this site and this compensation may impact how and where offers appear on this site (such as the order). or Financial Advisor. Apple and the Apple logo are trademarks of Apple Inc. registered in the U.S. and other countries. A letter of explanation is a brief document you can use to explain anything in your financial or employment documents that might make an underwriter pause, like a previous bankruptcy. I sincerely hope you will approve my credit application. However, there were some places where there was still a need to change it. 1001 james St, Apt 3, New York, NY This is a previous address. USLegal fulfills industry-leading security and compliance standards. If you were able to continue meeting your financial obligations during this time, include that information, too. I have mentioned two different addresses on the document I submitted to the bank by mistake. Default Explanation Letter Template For A Mortgage - Home Loan Experts This is formal that does not need you to give any irrelevant information. But, there are some places where I still need to change it. Recently I submitted a few documents for the approval of the Spenser Loan to the bank. Negative items on your credit report can set off red flags for underwriters who might assume you have difficulty paying your bills. How to Write a Letter of Explanation | Template & Examples I received an email from the bank yesterday in which authorities had pointed out some address discrepancy at my end at the time of submission of the documents. Why do mortgage lenders ask for letters of explanation, and do you have a sample template we can use to get started?" I mentioned two different addresses by mistake. #1 Internet-trusted security seal. You can directly state the letter from the main thing you wanted to communicate. Please let me know if there are other questions. LLC, Internet Letter of Explanation for Mortgage - Templates - Santander Bank If you were a victim of monetary fraud or identity theft, thats not a deal-breaker, but you will need to include the specifics in your letter. The name and address on your credit report don't match the name and address you've provided on your mortgage application. Consider referencing these examples for guidance when writing your own letter: Formal example Here's an example of a formal explanation letter: Katie Patrick 12345 Brean Way Cincinnati, Ohio 42091 (010) 987-6543 katiepatrick@email.com June 3, 2021 Myles Moss 54322 Hillside Dr. Cleveland, Ohio 42190 (101) 345-789 mylesmoss@email.com When composing your letter of explanation template, you have to be very careful when choosing your words. I am still working at the same company today and, since July 1, 2020, I have not been late on, nor missed, any payment on this credit card account. Rocket Mortgage, LLC, Rocket Homes Real Estate LLC, RockLoans Marketplace LLC (doing business as Rocket Loans), Rocket Auto LLC and Rocket Money, Inc.are separate operating subsidiaries of Rocket Companies, Inc. (NYSE: RKT). Get the latest housing market news and expert analysis delivered straight This will also create some distance between the timing of your application and your previous credit problems. LendingTree does not include all lenders, savings products, or loan options available in the marketplace. At the end of the letter, you can ask the recipient to change the address at a certain place if the variation was not intentional. A Guide To Writing An Explanation Letter | Rocket Mortgage I received a letter from OPUS California in which the authorities asked me to show the cause behind address variation on my National Identity Card and my documents submitted for the mortgage. What is a derogatory letter of explanation? What is a letter of explanation for addresses? I have received a show-cause notification on 18th June 20XX, according to which I am asked to explain the variation of address at two different places. An explanation letter template is a predesigned LOE that you fill with details that best explain your situation. I lived from Feb 2011 to . In some cases, you may need to add financial documents to support your letter. Both Shekhar and Windham say yes, it's possible that a lender might review your letter of explanation and reject it. Date: Select: Letter for explanation for address variation. Follow these simple guidelines to get Address Discrepancy Letter Pdf completely ready for submitting: Submitting Address Discrepancy Letter Pdf doesn?t need to be confusing anymore. According to the Consumer Financial Protection Bureau, unless the SSA benefit letter specifically states that benefits will expire within three years of the loan origination, lenders must treat the benefits as likely to continue. First, let's go over what exactly underwriting is. A letter of explanation is a document that's used to explain any circumstance or situation. Re. If these bills were excessive because you didnt have medical insurance, youll need to send proof that you have it now. If theres a difference between the addresses on your drivers license, loan application and credit report, the lender will ask for a letter to clear up the discrepancies. If a lender still isn't willing to give you a home loan after you resubmit your letter of explanation, you might want to consider applying with another lender. For example, if you were hospitalized and in turn defaulted on payments to creditors, you should include the hospital bills. Then write a clear, concise letter thats free of emotional language, negativity, or excessive detail. If you decide to try a different strategy, it is time to work on resolving the issues the underwriter asked about. My former address i.e., address (i) is my current station and I have been living here since 2019. They will need to know why this is so so that procedures can be continued effectively. In case you have anything to ask, you can contact me. I was laid off from my job in November and unable to make my $550 car payment in December because of the drain on my finances. Get up to 2% cash back on every purchase. If youre self-employed with complicated tax returns, you might even need to request a letter from your tax professional to help the lender understand how youre paid.