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Day 1 Income Calculations:

Minimum History to use Day 1 Certainty:  

Base Income:  To use Day 1 Certainty there are minimum histories required.  Borrowers must have a 12 month history of income reported on the vendor report for the same employer.

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Hourly Wage Earners:  DU will look to the vendor report and compare rate of pay to year to date income to validate the income is accurate and makes sense.

Bonus Income:  A 24 month history must be provided on the vendor report for the same employer.

Additional Calculations:

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VERY IMPORTANT VOI INSTRUCTIONS

Cost of VOI's from Credit Plus:

  • $31.75 from The Work Number
  • $19.00 for a Manual VOI from Equifax

VOI Process through Credit Plus

  • Credit Plus is providing Red Diamond a Day 1 Certainty Eligible Income solution.
  • We need to order a VOI from Credit Plus.  They will first try The Work Number and get the results or if the company is a non-Work Number Company they will go to Equifax and get the VOI.
  • The results will be brought back into Encompass automatically.
  • The Encompass Loan Number will be the reference number that DU will use for Day 1 Certainty Eligibility validation.

  • Red Diamond can order VOI's from non-work number employers.  Equifax will be the fulfillment provider for these and they will be Day 1 eligible when we receive them back from Equifax through Credit Plus.

Overtime & Commissions:

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Overtime & Commission Income can be validated through a VOI.  See the instructions to the left of this note.

Tax Transcripts:

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IMPORTANT TAX TRANSCRIPT INFO - HOW TO USE THEM WITH DAY 1 CERTAINTY

2 YEARS - TRANSCRIPT COST:  $9.75

  • VOI's will not work for income that is not from wages.
  • Tax Transcripts are available for income from non-wage sources like Pension Income, Social Security Income and Schedule C Self-Employed Income.
  • Tax Transcripts can be pulled from Credit Plus.
  • Tax Transcripts can take 5-10 days to be returned depending upon the timeline from the IRS.
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IMPORTANT TAX TRANSCRIPT INFO - HOW TO USE THEM WITH DAY 1 CERTAINTY

2 YEARS - TRANSCRIPT COST:  $9.75

  • VOI's will not work for income that is not from wages.
  • Tax Transcripts are available for income from non-wage sources like Pension Income, Social Security Income and Schedule C Self-Employed Income.
  • Tax Transcripts can be pulled from Credit Plus.
  • Tax Transcripts can take 5-10 days to be returned depending upon the timeline from the IRS.