Why this document matters
During the underwriting process, an explanation from the borrower regarding any employment gaps may be required. This form enables the borrower to provide a justification for such gaps. The purpose of acquiring this information is to provide context for potential issues in the application, thereby ensuring a stable and reliable income source. Employment gaps may affect income verification and DTI calculations. Without proper explanation, employment gaps may require additional income verification, impact loan qualification, or delay underwriting.When this document is requested
This document is requested when:- Employment gaps identified in application or verification
- Gaps in work history that don’t align with reported income
- Periods of unemployment that need justification
- Underwriting requires context for employment history
Required data fields
Borrower information fields
| Field Name | Type | Required | Data Source | Notes |
|---|---|---|---|---|
| Borrower name | String | Yes | Borrower entity | Full legal name, repeatable for N borrowers |
| Loan number | String | Yes | Loan entity | Alphanumeric identifier |
| Property address | String | Yes | Loan entity | Full street address of property being financed |
| City | String | Yes | Loan entity | City of property address |
| State | String | Yes | Loan entity | State of property address |
| ZIP code | String | Yes | Loan entity | ZIP code of property address |
Employment gap fields (repeatable up to N times)
| Field Name | Type | Required | Data Source | Notes |
|---|---|---|---|---|
| Gap start date | Date | Yes | User input | Date employment gap began, format: MM/DD/YYYY |
| Gap end date | Date | Yes | User input | Date employment gap ended, format: MM/DD/YYYY, must be >= start date |
| Explanation | String | Yes | User input | Detailed explanation for the employment gap, free text |
Signature fields
| Field Name | Type | Required | Data Source | Notes |
|---|---|---|---|---|
| Borrower signature | Signature | Yes | E-signature | Digital signature with timestamp, repeatable for N borrowers |
| Signature date | Date | Yes | E-signature | Auto-populated on signature, repeatable for N borrowers |
Suggested questions for data collection
| Question | Response Type | Validation |
|---|---|---|
| ”Borrower #X: What is your full legal name?” | Text input | Required, min 2 words, repeat for each borrower |
| ”What is the property address?” | Text input | Auto-populated from loan entity |
| ”Gap #X: When did the employment gap begin?” | Date | Required, format: MM/DD/YYYY |
| ”Gap #X: When did the employment gap end?” | Date | Required, format: MM/DD/YYYY, must be >= start date |
| ”Gap #X: Please provide a detailed explanation for this employment gap” | Text area | Required, detailed explanation of why the gap occurred |
| ”Please sign and date this document” | E-signature | Required, includes timestamp |