 | Credit. Past credit history of the borrower. If the
borrower doesn't pay anyone else, they may not pay you. We can email you a
credit
report. In general, the lower the credit score, the worse the credit.
It is important to distinguish between GENUINE short term problems, like a
divorce or being laid-off, and deadbeats who never act responsibly. |
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| Capacity. Does the borrower earn enough to make the payments?
When you verify
employment, be aware that some crafty borrowers will give a friends phone
number as the number of their employer. Listen when you make the phone call.
Would you expect to hear children in the background if you called, say,
General Motors? You will want to see a
W2, perhaps tax returns
and a VOE (verification
of employment). But
remember, with modern software, it's easy to create false tax returns and
W2s. Download
a VOE from our site. |
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