Income verification is a critical part of the lending process. Accurate and timely verification allows lenders to streamline approval processes and ensure alignment with regulatory compliance. Because lenders are tasked with ensuring borrowers have the means to pay back loans, employment and income verification are nonnegotiable.

Without efficient solutions, lenders can face challenges such as fraud risks, security concerns and poor borrower experience. Truv offers a waterfall of solutions designed to mitigate these challenges. 

The Challenge of Income Verification in Lending

Verification of income and employment (VOIE) processes, while necessary, present common challenges to lenders and others within the industry. Obstacles that you might experience, especially without the right verification service, include:

  • Time delays: borrowers are used to almost instant processes, even when it comes to loan approvals. While they’re likely to understand mortgage loan approval requires time, accurate information should still be received quickly.
  • Inaccuracies: Inaccurate data can lead to errors in lending approval processes that can be costly or require corrections. Accuracy issues can be a matter of timing — manual processes may deliver old data, which can lead to inconsistencies in financial information. 
  • Compliance risks: Without the right solutions, you risk processes that aren’t compliant with federal, state and other regulations or data workflows that put your business and customer data at risk. 
  • Cost: The expense of verification solutions can be a challenge for organizations of all sizes. Truv provides options that help you save 60% to 80% compared to the expense of dealing with instant databases. 

Truv’s Comprehensive Verification Solutions

Truv’s income and employment verification solutions offer a comprehensive and seamless approach. Our waterfall verification solution offers a full suite of products, including:

  • Income and employment verification: Direct connections to payroll providers 
  • Asset verifications: Direct connections to bank accounts and financial institutions 
  • Insurance verifications: Direct connections to insurance providers
  • Document upload: A proprietary fallback solution to payroll VOIE, with built-in fraud detection

The solution lets you pull data from multiple sources for a comprehensive picture of a customer’s financial status without needing separate vendors. This capability helps lenders achieve optimized conversion with reduced friction in the process, making Truv an ideal solution for enhancing customer experience and streamlining verifications. 

Benefits of Choosing Truv

When choosing income verification services, consider the benefits of partnering with Truv, including:

  • Speed: Truv’s waterfall approach and comprehensive coverage ensure fast retrieval of data for verification. User-friendly processes lead to increased conversion rates, and options for document uploads let customers proactively supplement verification processes.
  • Accuracy: Our API and other technology help ensure data integrity, reduce errors associated with manual entry and prevent fraud risks in verification and lending processes. 
  • Security: Our secure, consumer-permissioned solutions ensure you and your clients are in control of data transactions and access. Our solution has 99.9% fraud detection for document uploads, reducing lender risks when relying on consumer-provided verification documents. 
  • Customer service: Truv works with more than 120+ mortgage lenders and financial institution customers, and we work hard to provide a high level of customer support. 
  • Comprehensive verification: Our comprehensive solutions let you verify assets, employment and income in a single system, within the same user interface. 

A Unified Platform with a Range of Solutions

Truv offers unique features to make it an ideal option for many lenders, including:

  • Platform Integrations: Our solutions are compatible with leading platforms, including nCino’s Mortgage Suite, BeSmartee and Floify, and more. Additionally, Truv supports integrations with major loan origination systems (LOS), such as Encompass, Empower, and Byte. Reach out to the Truv team to discuss integrations or compatibility with legacy or other platforms. 
  • GSE Certifications: Truv is an authorized report supplier for Fannie Mae’s Desktop Underwriter® (DU®) validation service and an approved provider of Freddie Mac’s Loan Product Advisor®(LPASM) asset and income modeler (AIM). Offered as fallback solution to payroll VOIE, Truv offers an AI-driven Document Upload solution. As an integrated provider with Freddie Mac’s AIM Check API, Truv can deliver instant and automated assessment of paystub and W-2 data for lenders to use for their calculations of qualified income.
  • Scalability: Truv supports lenders of all sizes and business channels, from retail to wholesale, correspondent, DTC, to joint ventures or subsidiaries.
  • Market-leading coverage for VOIE and verification of assets (VOA):  Truv’s payroll API solutions cover 2.3 million employers, accounting for 96% of the working population in the United States. We also connect with more than 13,000 financial institutions to ensure coverage for VOA. 

Document upload: Our proprietary solution for document upload can detect falsified pay stubs, W-2 forms and other documents. It can also restore tampered-with fields to ensure lenders have accurate assets and income information.

Contact Truv Team

 

Real-World Success Stories

Consider some income verification examples in real-world case studies to better understand why lenders choose Truv. 

Mortgage Investors Group

Mortgage Investors Group (MIG) identified unacceptable upward trends in costs and data errors with its previous verification solutions. It implemented VOIE, VOA and the Truv Dashboard to correct these trends.

Early on, MIG noted savings of $100 to $150 per loan using Truv solutions compared to expenses associated with alternatives. After full implementation, MIG noted that Truv solutions helped drive a 100% improvement in its conversion rate. 

Revolution Mortgage

Revolution Mortgage faced constantly increasing pricing for legacy VOIE and VOA systems while suffering from delays that negatively impacted loan manufacturing timelines and customer experiences. It implemented Truv’s VOIE, VOA and integration with point-of-sale (POS) solutions. 

The result was a reduction in costs from 8 basis points per loan to 3 basis points per loan. Revolution Mortgage was also able to increase the percentage of loans that use GSEs for Representation and Warranty relief. 

Compass Mortgage

Compass Mortgage struggled with high costs for VOIE processes that were providing less-than-stellar accuracy. Borrower friction and outdated processes compromised smooth lending processes, reducing conversion rates and loan closures.

Compass Mortgage selected Truv’s verification of income and employment LOS Integration (Encompass®) product. Within the first year, it saved 60% to 80% on verifications.

America First Credit Union

Find out more about the benefits of Truv verification solutions in this webinar offered by America First Credit Union and Truv. You can discover how America First Credit Union achieved 60%+ conversion and saved 80% per loan file while supporting faster loan process times by implementing Truv services. 

See How Truv Works for Your Business

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