# Verbal Verification of Employment Before Closing - Author: TrueBankFlow (https://truebankflow.com) - Published: 2026-10-17 - Category: Loan desk operations - Canonical: https://truebankflow.com/blog/verbal-verification-of-employment > How a verbal verification of employment is done before closing: who calls, which numbers count, self-employed versions and what a failed check means. A verbal verification of employment is a phone call, made shortly before closing, in which the lender confirms with the employer that the borrower still holds the job used to qualify. Staff who are not the loan officer place the call to a number found independently, and record who answered. For owners, proof the business still operates replaces it. ## Who makes the verbal verification of employment call? The verbal verification of employment call is usually made by a processor, a closer or a verification specialist, not by the loan officer. The loan officer is paid when the loan closes, so having someone else make the call keeps the check independent. Some lenders use an outside verification vendor for the same reason. The person calling needs three things before dialing: the employer's legal name, the borrower's job title and start date from the application, and a phone number for the employer that did not come from the borrower. Many lenders prefer open questions, such as "What is the job title of Maria Lopez, and when did she start?", so the employer states the details without being led. A closed question that reads the title back invites a quick yes. Follow your own written procedure, and use it the same way on every call. ### What to record from each call Use a checklist so that every verbal VOE in the file looks the same: - Employer name and the phone number dialed. - Where the number was found. - Name and title of the person who confirmed the employment. - Date and time of the call. - What was confirmed: employment is current, job title, and start date if asked. - Name of the staff member who made the call, with their signature or system sign-off. A completed checklist is the evidence. A note that says "VOE done" is not. ## Which phone numbers count for a verbal VOE? A phone number counts for a verbal VOE when the lender found it on its own, through a business directory, the employer's website or a state business registry, rather than taking it from the borrower's paperwork. A number printed on a pay stub or written on the application could reach anyone, including a friend posing as a supervisor. ### When the number reaches the wrong person Large employers often route employment checks to a human resources line or a third-party verification service. That is acceptable when the service is the employer's own chosen channel, and the record should name the service. If the independent number reaches a receptionist who cannot confirm, ask for the department that can, and record the transfer. ### Small employers At a five-person company, the owner may be the only one who can confirm. Check that the owner's number appears in a public listing for the business. If it does not, look for another public source, such as the business's registration record, before relying on it. ## Verbal VOE timing before the note date Verbal VOE timing is set by the investor or program. For loans sold to Fannie Mae, the [Fannie Mae Selling Guide section on verbal verification of employment](https://selling-guide.fanniemae.com/sel/b3-3.1-07/verbal-verification-employment) requires the check within 10 business days before the note date for employment income, and within 120 calendar days for self-employment income. The same section lets the lender complete the verification after closing, as long as it is done before the loan is delivered. If it cannot be obtained by then, the loan is not eligible for sale to Fannie Mae. Non-QM lenders set their own windows, and many follow a similar short window for wage earners. Read the program guide rather than assuming. Timing matters most when closing slips. A call made eight business days before the planned date may fall outside the window if closing moves by a week. Build a recheck into the process whenever the closing date changes, and look at the call date before documents are drawn. Catching these items before the file reaches an underwriter is the purpose of a [pre-underwriting review of the loan file](/blog/pre-underwriting-review). ## Self-employed verbal VOE: confirming the business still runs A self-employed verbal VOE confirms that the borrower's business exists and is still operating, because there is no employer to call. The Fannie Mae section above leaves the method to the lender, choosing whatever suits the business structure. In practice that means a current registry record, a license lookup, a call to the business's listed number, or a preparer's confirmation. ### Common evidence for business owners - An active status page from the state business registry, printed with the date. - A professional or trade license lookup showing the license is current. - A call to the business at a publicly listed number, confirming it is open. - A letter from the borrower's tax preparer, if the lender accepts one. ### Statements as a cross-check Recent bank statements give a second view. A business that still runs shows deposits in the latest months at roughly the pace of the lookback. A sudden stop in deposits, even with an active registry record, is a question to ask before closing. How to read an owner's mixed personal and business activity is covered in [reading self employed bank statements](/blog/self-employed-bank-statements). TrueBankFlow shows whether deposits are rising or falling across the period you review, which makes a recent drop easy to see. ## A failed verbal VOE and what it does to the closing A failed verbal VOE is one where the employer says the borrower no longer works there, the role or hours have changed, or nobody at an independent number can confirm the job. Any of these stops the closing until the underwriter reviews it, because the income used to qualify may no longer exist. ### What happens next - **The borrower changed jobs.** The new job must be documented and the file re-underwritten on the new income. Some programs need a set time in the new role. - **Hours or pay fell.** The underwriter recalculates income, and the loan may no longer qualify. - **The employer cannot be reached.** Try other independent channels and record each attempt. A lender may accept other written proof, if its guide allows. - **The answer conflicts with the file.** A different title or start date is a red flag. The underwriter decides whether it is a clerical mismatch or a sign of a fabricated job. ### When the borrower disagrees A borrower who believes the employer gave a wrong answer can ask the employer to correct it in writing. If the lender still declines the loan after review, the borrower or broker may challenge the decision through the lender's own process, which is covered in [how to appeal an underwriting decision](/blog/underwriting-decision-appeal). If your team wants to see, before closing, whether a business owner's recent deposits still match the lookback, you can [get started with TrueBankFlow](/get-started).