Tax Time Reminder That Helps Lenders Year Round
Tax returns do more than provide a paper trail for individuals and businesses to prove to states and the federal government that they met their financial obligations. A request for verified IRS tax return transcripts is one of the best ways for lenders (i.e., banks, credit unions, mortgage firms and other financial institutions) to confirm a potential borrower’s overall income and financial history and ability to repay one or more loans. Whether someone needs a new mortgage agreement, car financing or a personal loan, there’s no better way of checking their critical financial details.
IRS Requirements and Penalties Guarantee Accurate Details
The IRS doesn’t fool around. Taxpayers must provide honest, up-to-date personal and tax information on every return. Accuracy-related penalties are steep. They can result in percentage-based fees and prison time. The IRS penalizes for income understatement and disregard and negligence related to rules and regulations. As a result, tax returns represent legal documents that many people simply won’t risk filing with inaccuracies or mistakes.
Why Background Screening Services Are a Necessity
Yet some people who apply for loans attempt to provide fraudulent information to lenders. They usually claim to have accurate on-hand copies of their original tax returns. Wise lenders don’t allow borrowers to supply only these documents. Instead, after a lender receives permission from the borrower through the IRS Income Verification Express Services (IVES) program, a third-party background check company makes a request to the IRS to retrieve accurate tax return transcripts and verify the details.
We Provide Peace of Mind 24/7 All Year Long
We understand the importance of accurate, up-to-date information. Our Private Eyes team utilizes an in-house transcript verification system that relies on direct data retrieval from the IRS. Our system brings timely information from trusted loan-origination systems and partners as well. We’re a proven and trusted industry vendor.
Ready to transform your lending experience? Contact us to get started and ensure efficiency and reliability in your loan approval processes.
Have questions? Speak to a Private Eyes expert for more information.