Complete Verification

• To approve a loan, lenders generally not only want the potential borrower to be employed, but they also usually require continuous employment for the past two years. When a lender "completely verifies" an employment record, it calls the applicant's employer and talks to him. In addition, a lender may mail an employer a letter for him to sign verifying the employment.
  
  

Evidence of Employment

• Occasionally, a lender may accept documents as evidence of employment. In these cases your lender may accept a tax return or W-2 as proof.
  
  

Verbal Statement

• At her discretion, a lender may accept a verbal statement as proof of employment, with no other evidence.
  
  

Considerations

• A loan company uses its own discretion as to how to verify employment and usually expects the potential borrower to provide evidence. If the borrower doesn't, she can expect to pay a higher interest rate for the loan.