Glossary Letter: V

Verification of Employment (VOE) is a process used by lenders to confirm a borrower’s current job status, income, and employment history when evaluating a loan application. VOE can be conducted through direct contact with the employer, pay stubs, or third-party services. It helps lenders assess the borrower’s ability to repay the loan by verifying income… Continue reading Verification of Employment (VOE)

A variable interest rate is a loan or mortgage interest rate that fluctuates over time based on an underlying benchmark or index, such as the prime rate or LIBOR. Unlike fixed rates, variable rates can increase or decrease, affecting the borrower’s monthly payments. While variable rates can offer lower initial rates, they carry the risk… Continue reading Variable Interest Rate