Do you hand over tax returns and bank statements when asked?
 

One of my processors just asked for a copy of our tax returns and bank statements ...

I don't know about you guys but nobody bar the government will ever get that sort of information from me, its none of their business what I make and how much I have in my bank. The bloody nerve... I don't care if there are rays of holy light that shoot out of your backside when you bend over, no company has the right to ask for that kinda info.

Do you guys give it up ?

nope, don't even like giving the info to the government, and avoid doing that as long as possible

If they're uncomfortable releasing all of the payments to you right away you can have them hold back some extra (that is assuming this is a new account without an established activity trend). Just for a few months until a normal activity trend can be established.

If they're requiring that information from you to continue providing service you might want to seek out another processor.

Now if they're asking for that information in consideration of giving you a better discount rate ... well, that might be worth it.

In commercial real estate even residential (rentals) in these days it became the norm, they do give you an option to pay 6mo. advance and not have to supply that.

Theres a flaw in that argument though, you have to pay them .... in this case they have to pay you.

When a company has to pay you there is little risk for them, when you have to pay them there is a lot of risk.... totally different things.

No one should ever need to ask for it.. even if it was a bank asking to approve me for a mortgage.... fuck them. It's information they do not need or are privileged to have.... ever.

I provided copies of my taxes and bank statements to get a loan for my new car a couple of months ago.

fuck them

thats exactly why where in this housing mess, noone needed to provide shit so the bank took peoples word, this is a trillion dollar mess now

Why would a bank give you a mortgage without looking into your financial situation?

thats how subprime worked in many cases, they even called those loans "Stated Income" / "Liar Loans" that was the norm

At the end of the day it comes down to this... they have something that you want. If you want it bad enough, you will bend over to meet their requirements. If you don't want it bad enough, you will move on and find someone that wants your business more.

I set up a new company a couple months ago and I used a new bank to do so. Before the new bank would give me a credit line, they wanted to make sure that my financial situation with my other company was in good standing so they requested tax records. As I can see their concern, I had no problem showing them that I am not an idiot. I wanted something from them, showing them my tax records really does not negatively impact me in any way...

Now if a sponsor requested my tax records... I would laugh and move on to the next one.

Sure, but they don't anymore, right? I would hope not.

As an ex-mortgage broker I can say that you either prove your income or you get no loan. That is unless your credit score is superb and you can get a stated income loan. It's been years since I've been in but since everyone has been running around say that these type of loans (liars loans) were the problem (which they weren't) then it might be hard to find one. Even if you do you're going to pay a higher rate because of it. In most cases they can use either the bank statements or the tax statements.

On a side note they can get this information any way even if you do go stated. When you go to closing you will sign forms (4506 for tax info) which allows them to obtain the information from the sources.

You have to prove to them you have the ability to pay. The loan officer and/or processor isn't the one asking for it. It's the underwriter.

Good luck on that. I have received stated income loans in the past but would not expect to be able to do so today.

hey big shot,

If u want to play in the big leagues you need to get MA's that can handle volume and risk.

Working with these types of banks there is alot of money and risk at stake, you need to provide full disclosure and transparency with all parties.

More than likely your account manager will fly out to meet you face to face on a continual basis.

If you want to play mr shady and dont want to disclose anything, expect a small volume limit, a nice big reserve, and a potential hold on your money when you start shooting to any volume.


Keep in mind, they wont tell you this when they are approving your account as they will approve anyone, you will find out the hardway when your funds aren't getting released and you owe your affiliates....

Had that happen to me a few times going for a loan

What the fuck does that have to do with anything? Seriously?....