d. Documentation Guidelines for Borrowers-Not Self Employed

Refer to the following table for documentation guidelines for employment/income for borrowers who are not self-employed.

Subject and Reference

Documentation Classification

Documentation Guidelines and Reductions for Refer

Additional Documentation Reductions for Accept/Approve

Employment gaps

No explanation for employment gaps is required if the gaps are <30 days.

No explanation for employment gaps is required if gaps are <60 days.

Verifying current employment for borrowers who are not self-employed (section 2 of this chapter)

Document telephone contact verifying borrower’s current employer.

Use pay stubs covering at least 1 full month of employment and contains the following:

·   Year-to-date (YTD) information

·   Bonus information

·   Overtime information.

Same as Refer.