Can a lender ask about dependents?

Do you have to declare dependents on mortgage?

Although you are required to list the number of dependents you have on your mortgage application, this information does not directly affect if you qualify for a conventional mortgage. … Shopping lenders is the best way to save money on your mortgage.

Can you lie about dependents on mortgage?

You absolutely shouldn’t. These days, mortgage lenders carry out stringent checks when assessing applicants and will ask for documents to verify your personal information as well as wage slips to prove your income.

What questions can a loan officer not ask?

Lenders are not permitted to ask any questions that would discourage an applicant. Further, government regulations prevent mortgage lenders from denying loans based on race, color, religion, national origin, sex, marital status, age, or because you receive public assistance.

What are underwriters allowed to ask?

Underwriters can (entirely legally) ask you to prove any of the following: That your grandparent or other family member died. That your deceased family member wrote you a personal check for inheritance money. What Venmo (and its emojis) or other unlabeled personal transfers were for.

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Why do mortgage companies ask about dependents?

Lenders will ask whether you have children, and it will want to know their ages. This is because children can play a role in your loan approval and the lender won’t want to miss it.

How do dependents affect mortgages?

As part of their affordability calculations, lenders will ask for the number of dependants (this isn’t exclusively referring to children, rather anyone that is financially dependant on the income). … More simply, the more people reliant on the income, the more this can reduce the maximum loan available.

What should you not tell a mortgage lender?

10 things NOT to say to your mortgage lender

  • 1) Anything Untruthful. …
  • 2) What’s the most I can borrow? …
  • 3) I forgot to pay that bill again. …
  • 4) Check out my new credit cards! …
  • 5) Which credit card ISN’T maxed out? …
  • 6) Changing jobs annually is my specialty. …
  • 7) This salary job isn’t for me, I’m going to commission-based.

Can you go to jail for lying on a mortgage application?

California Penal Code 532f describes the crime of mortgage fraud, which is also commonly called real estate fraud. … Anyone convicted of mortgage fraud will face harsh penalties, including jail time, fines, and restitution.

How many people lie on their mortgage application?

Nearly 4 in every 1,000 mortgage applications turn out to be fraudulent.

Why do mortgage lenders ask so many questions?

Ever wondered why us mortgage brokers have to ask you so many questions about your financial circumstances? It’s to ensure that fraudulent applications don’t slip through the cracks and that your loan suits your needs now and your plans for the future.

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Can you ask race on a mortgage application?

A law called the Equal Credit Opportunity Act (ECOA) enacted in 1974 makes it illegal for lenders to discriminate based on race, national origin, gender, age, marital status, or because one receives public assistance. … So ECOA says lenders can’t use race, ethnicity, gender, and age to make loan decisions.

How do mortgage lenders verify debt?

When mortgage companies look at your debt, they evaluate it from two angles. One is simply a look at the regular housing costs of your mortgage. This is the percentage of your income required for your mortgage payment, including taxes and insurance, as well as homeowner association dues.