Short-term disability as income
Employee at a bank ($374MUSA)
Good morning,
We have had a situation arise that we are unsure how to deal with. We have a loan applicant who is currently on short-term disability, which is less than their normal income. The applicant does not know how long they will be on disability. How do we determine the terms of the loan? If we use the disability as her income, the applicant could potentially be approved for less, but we do not know if/when their normal income will be reinstated.
Any guidance would be appreciated.
Thanks
T
We have had a situation arise that we are unsure how to deal with. We have a loan applicant who is currently on short-term disability, which is less than their normal income. The applicant does not know how long they will be on disability. How do we determine the terms of the loan? If we use the disability as her income, the applicant could potentially be approved for less, but we do not know if/when their normal income will be reinstated.
Any guidance would be appreciated.
Thanks
T