What does Verification of Deposit mean?

Verification of deposit (VOD) is a process used by lenders to verify the amount of money that a borrower has in their savings or checking account. This is typically done by the lender requesting a statement or letter from the borrower's bank, which shows the current balance in the account. The lender uses this information to determine the borrower's ability to make a down payment or to cover closing costs.

Related Terms

Turnkey Closing Statement Bridge Loan Median Price Deed of Trust Bona Fide POF proof of fund The 72-Hour Clause Custom Builder Employer-Assisted Housing Blanket Insurance Policy Use (In a Lease) Rehabilitation Mortgage Principle of Conformity Original Principal Balance Corner Influence Agency Fully Amortized Adjustable-Rate Mortgage ARM