The Employment Authorization Form is a critical document that allows brokers to verify a client’s employment details directly with their employer. This verification is essential for loan applications, ensuring that income and job stability meet lender requirements.
This guide explains the purpose of the Employment Authorization Form, when it is needed, and how brokers should handle it.
1. What Is an Employment Authorization Form?
This form grants permission for a mortgage broker to contact the client’s employer to:
✔ Verify salary details
✔ Confirm employment duration
✔ Identify employment type (e.g., full-time, part-time, casual)
By obtaining this authorization, brokers ensure that employment details provided in a loan application are accurate and compliant with lender requirements.
2. When Is the Employment Authorization Form Needed?
Brokers require this form in the following situations:
🔹 Home Loan & Mortgage Applications – To verify income stability before loan approval
🔹 Car & Asset Finance Applications – To confirm that the client meets lending criteria
🔹 Loan Refinancing – To ensure continued income eligibility for new loan terms
🔹 Debt Consolidation – To assess the client’s ability to manage repayments
3. Key Information Included in the Authorization Form
The form typically contains:
📌 Client Details – Full name, address, and signature
📌 Employer Information – Company name and contact details
📌 Broker Details – Broker name and company handling the verification
📌 Scope of Verification – The specific employment details requested
The employer may be asked to confirm:
✔ Salary amount
✔ Length of employment
✔ Type of employment (full-time, part-time, casual)
4. How to Use the Employment Authorization Form
Step 1: Client Completes and Signs the Form
The client fills out their name and address.
The client signs and dates the form, granting authorization.
Step 2: Broker Submits the Request to Employer
The broker forwards the form to the employer’s HR or Payroll Department.
Employers are asked to verify salary, employment status, and duration.
Step 3: Verification and Loan Processing
The employer responds with the necessary details.
The broker cross-checks the information with the loan application.
5. Compliance & Privacy Considerations
✅ Clients must sign the authorization before any employment verification takes place.
✅ The information must only be used for the loan application process.
✅ Brokers must handle client data securely to comply with privacy regulations.
✅ If the client wants to revoke authorization, a written request is required.
6. Need Assistance?
For questions regarding employment verification or loan processing, brokers can contact the compliance team at Oxcel Broker Services.
📧 Email: [email protected]
📞 Phone: 1800 010 001