Compare Mortgage Quotes

Refinance Rates for Today

Please enable JavaScript for the best experience.

In the mean time, check out our refinance rates!

Company Loan Type APR Est. Pmt.

laid off

Posted on: 02nd Oct, 2010 12:52 am
I have been pre-approved for a mortgage but have recently been laid off from my job and so my employment status has changed. Am I obliged to tell my bank this information?
Hi charoneville

Welcome to mortgage fit,

I think you should wait for some time and let the you get the amount disbursed and then you can convey them regarding the change in employment status.By that time you may search for another job and if you get another there won't be any problem at all.

Feel free to ask any further query if you have.

DIPA
Posted on: 02nd Oct, 2010 04:01 am
Thank-you for answering my question.

Just to be sure, here are more specifics: My loan application has gone through credit approval but I haven't signed the final forms yet. I am due to do this in two days and to receive my deposit cheque for a house I have an offer on, which I must confirm the sale of the following day. The timing couldn't be worse - I just found this out as my mortgage was being approved by credit. I have until November 15th to close on the sale, when the funds actually get transfered.

I spoke to someone at my bank anonymously and they said that the bank will have to confirm all the income details again at the time of the closing. They also said that I have to divulge any changes to my employment income. I will have no problem making the mortgage payments on this new home and I have no doubt that I will be gainfully employed soon and I have a stellar employment history. Unfortunately another foreseeable problem is that I will be the only one on title on the new home so my boyfriend's contribution to the mortgage payments will not be considered.

I hope with these details you might have some further information about the actual rules and regulations pertaining to this situation.
Posted on: 02nd Oct, 2010 04:50 pm
It is better to let the bank know about your employment situation. If the lender has any objections, he will let you know about it immediately. If you do not let the lender know about your employment situation and if he comes to know it from a third party, he may consider this as a fraud and may call the loan due immediately.
Posted on: 04th Oct, 2010 02:54 am
It is normal for the lender/broker to perform a "telephone certification" of your employment within 10 days (soon to be business days) of closing and this layoff will be caught then. Better "fess up" now.
Posted on: 04th Oct, 2010 06:25 am
Page loaded in 0.135 seconds.