Exhibit 5-3: Acceptable Forms of Verification



Rental Housing Support Program

Acceptable Forms of Verification

|Appendix : Acceptable Forms of Verification |

|Factor to be Verified |Acceptable Sources | |

| | |Verification Tips |

| |Third Partya |Documents Provided by Applicant |Self-Declaration | |

| |Writtenb |Oralc | | | |

| | | | | | |

|Alimony or child support. |Copy of separation or divorce |Telephone or in-person contact |Copy of most recent check, |Notarized statement or affidavit |Amounts awarded but not received can be |

| |agreement provided by ex-spouse|with ex-spouse or income source |recording date, amount, and check |signed by applicant indicating amount|excluded from annual income only when |

| |or court indicating type of |documented in file by the owner. |number. |received. |applicants have made reasonable efforts |

| |support, amount, and payment | |Recent original letters from the |If applicable, notarized statement or|to collect amounts due, including filing |

| |schedule. Printouts from the |NOTE: For all oral verification,|court. |affidavit from applicant indicating |with courts or agencies responsible for |

| |agency responsible for |file documentation must include | |that payments are not being received |enforcing payments. |

| |enforcing payments. |facts, time and date of contact, | |and describing efforts to collect | |

| |Written statement provided by |and name and title of third | |amounts due. | |

| |ex-spouse or income source |party. | | | |

| |indicating all of above. | | | | |

| |If applicable, written | | | | |

| |statement from court/attorney | | | | |

| |that payments are not being | | | | |

| |received and anticipated date | | | | |

| |of resumption of payments. | | | | |

| |Third party verification | | | | |

| |obtained through HFS in | | | | |

| |Springfield, IL. | | | | |

| Assets disposed of less for than | None required. | None required. | None required. | Certification signed by applicant | Only count assets disposed of within a |

|fair market value. | | |May provide closing statements of |that no member of family has disposed|two-year period prior to examination or |

| | | |accounts, receipts for selling of |of assets for less than fair market |re-examination. |

| | | |property, etc. |value during preceding two years. | |

| | | | |If applicable, certification signed | |

| | | | |by the owner of the asset disposed of| |

| | | | |that shows: | |

| | | | |- Type of assets disposed of; | |

| | | | |- Date disposed of; | |

| | | | |- Amount received; and | |

| | | | |- Market value of asset at the time | |

| | | | |of disposition. | |

| Current family assets. | Verification forms, letters or| Telephone or in-person contact | Passbooks, checking, or savings | Notarized statement or signed | Use current balance for savings accounts|

| |documents received from |with appropriate source, |account statements, certificates |affidavit stating cash value of |cash value month average monthly balance |

| |financial institutions, stock |documented in file by the owner. |of deposit, property appraisals, |assets or verifying cash held at |in checking accounts for last six months.|

| |brokers, real estate agents, |NOTE: For all oral verification,|stock or bond documents, or other |applicant’s home or in safe deposit | |

| |employers indicating the |file documentation must include |financial statements completed by |box. |Use cash value of all assets (the net |

| |current value of the assets and|facts, time and date of contact, |financial institution. | |amount the applicant would receive if the|

| |penalties or reasonable costs |and name and title of third |Copies of real estate tax | |asset were converted to cash). |

| |to be incurred in order to |party. |statements, if tax authority uses | |NOTE: This information can usually be |

| |convert nonliquid assets into | |approximate market value. | |obtained simultaneously when verifying |

| |cash. | |Quotes from attorneys, | |income from assets and employment (e.g., |

| | | |stockbrokers, bankers, and real | |value of pension). |

| | | |estate agents that verify | | |

| | | |penalties and reasonable costs | | |

| | | |incurred to convert asset to cash.| | |

| | | |Copies of real estate closing | | |

| | | |documents that indicate | | |

| | | |distribution of sales proceeds and| | |

| | | |settlement costs. | | |

| Dividend income and savings | Verification form completed by|Telephone or in-person contact | Copies of current statements, | Not appropriate. | Local Administering Agency and Landlord |

|account interest income. |bank. |with appropriate party, |bank passbooks, certificates of | |must obtain enough information to |

| | |documented in file by the owner. |deposit, if they show required | |accurately project income over next 12 |

| | |NOTE: For all oral verification,|information (i.e., current rate of| |months. |

| | |file documentation must include |interest). | |Verify interest rate as well as asset |

| | |facts, time and date of contact, |Copies of Form 1099 from the | |value. |

| | |and name and title of third |financial institution, and | | |

| | |party. |verification of projected income | | |

| | | |for the next 12 months. | | |

| | | |Broker’s quarterly statements | | |

| | | |showing value of stocks/bonds and | | |

| | | |earnings credited to the | | |

| | | |applicant.` | | |

| Employment Income including tips,| Verification form completed by| Telephone or in-person contact | W-2 Forms, if applicant has had | Notarized statements or affidavits | Always verify: frequency of gross pay |

|gratuities, overtime. |employer. |with employer, specifying amount |same employer for at least two |signed by applicant that describe |(i.e., hourly, biweekly, monthly, |

| |Most recent 6-8 consecutive pay|to be paid per pay period and |years and increases can be |amount and source of income. |bimonthly); anticipated increases in pay |

| |stubs; do not use check without|length of pay period. Document in|accurately projected. | |and effective dates; overtime. |

| |stub. |file by the owner. |Paycheck stubs or earning | | |

| | |NOTE: For all oral verification,|statements (6 to 8 check stubs). | | |

| | |file documentation must include | | | |

| | |facts, time and date of contact, | | | |

| | |and name and title of third | | | |

| | |party. | | | |

| Household Composition. | Head of House Provides | None required. | Birth certificates | |Local Administering Agency and Landlord |

| | | |Divorce actions | |may seek verification only if Local |

| | | |Drivers’ licenses | |Administering Agency and Landlord has a |

| | | |Employer records | |clear written policy. |

| | | |Income tax returns | | |

| | | |Marriage certificates | | |

| | | |School records | | |

| | | |Social Security Administration | | |

| | | |records | | |

| | | |Social service agency records | | |

| | | |Support payment records | | |

| | | |Utility bills | | |

| | | |Veterans Administration (VA) | | |

| | | |records | | |

| Full-time student status (of | Verification from the | Telephone or in-person contact | School records, such as paid fee | | |

|family member 18 or older, |Admissions or Registrar’s |with these sources documented in |statements that show a sufficient | | |

|excluding head, spouse, or foster |Office or dean, counselor, |file by the owner. |number of credits to be considered| | |

|children). |advisor, etc., or from VA |NOTE: For all oral verification,|a full-time student by the | | |

| |Office. |file documentation must include |educational institution attended. | | |

| | |facts, time and date of contact, | | | |

| | |and name and title of third | | | |

| | |party. | | | |

| Income maintenance payments, | Award or benefit notification | Telephone or in-person contact | Current or recent check stubs | | Checks or automatic bank deposit slips |

|benefits, income other than wages |letters prepared and signed by |with income source, documented in|with date, amount, and check | |may not provide gross amounts of benefits|

|(i.e., welfare, Social Security |authorizing agency. |file by the owner. |number recorded by the owner. | |if applicant has deductions made for |

|[SS], Supplemental Security Income| |NOTE: For all oral verification,|Award letters or computer printout| |Medicare Insurance. |

|[SSI], Disability Income, | |file documentation must include |from court or public agency. | |Copying of U.S. Treasury checks is not |

|Pensions). | |facts, time and date of contact, |Most recent quarterly pension | |permitted. |

| | |and name and title of third |account statement. | |Award letters/printouts from court or |

| | |party. | | |public agency may be out of date; |

| | | | | |telephone verification of letter/printout|

| | | | | |is recommended. |

| Interest from sale of real | Verification form completed by| Telephone or in-person contact | Copy of the contract. | | Only the interest income is counted; the|

|property (e.g., contract for deed,|an accountant, attorney, real |with appropriate party, |Copy of the amortization schedule,| |balance of the payment applied to the |

|installment sales contract, etc.) |estate broker, the buyer, or a |documented in file by the owner. |with sufficient information for | |principal is merely a liquidation of the |

| |financial institution which has|NOTE: For all oral verification,|the owner to determine the amount | |asset. |

| |copies of the amortization |file documentation must include |of interest to be earned during | |Local Administering Agency and Landlord |

| |schedule from which interest |facts, time and date of contact, |the next 12 months. | |must get enough information to compute |

| |income for the next 12 months |and name and title of third |NOTE: Copy of a check paid by | |the actual interest income for the next |

| |can be obtained. |party. |the buyer to the applicant is not | |12 months. |

| | | |acceptable. | | |

| | | | | | |

| Net Income for a business. | Not applicable. | Not applicable. | Form 1040 with Schedule C, E, or | | |

| | | |F. | | |

| | | |Financial Statement(s) of the | | |

| | | |business (audited or unaudited) | | |

| | | |including an accountant’s | | |

| | | |calculation of straight-line | | |

| | | |depreciation expense if | | |

| | | |accelerated depreciation was used | | |

| | | |on the tax return or financial | | |

| | | |statement. | | |

| | | |Any loan application listing | | |

| | | |income derived from business | | |

| | | |during the preceding 12 months. | | |

| | | |For rental property, copies of | | |

| | | |recent rent checks, lease and | | |

| | | |receipts for expenses, or IRS | | |

| | | |Schedule E. | | |

| Recurring contributions and | Notarized statement or | Telephone or in-person contact | Not applicable. | Notarized statement or affidavit | Sporadic contributions and gifts are not|

|gifts. |affidavit signed by the person |with source documented in file by| |signed by applicant stating purpose, |counted as income. |

| |providing the assistance giving|the owner. | |dates, and value of gifts. | |

| |the purpose dates, and value of|NOTE: For all oral verification,| | | |

| |gifts. |file documentation must include | | | |

| | |facts, time and date of contact, | | | |

| | |and name and title of third | | | |

| | |party. | | | |

| | | | | | |

| Self-employment, tips, |None available. |None available. | Form 1040/1040A showing amount | Notarized statement or affidavit | |

|gratuities, etc. | | |earned and employment period. |signed by applicant showing amount | |

| | | | |earned and pay period. | |

|Unborn children. |None required. |None required. |None required. | Applicant/tenant self-certifies to | Local Administering Agency and Landlord |

| | | | |pregnancy. |may not verify further than |

| | | | | |self-certification. |

| Unemployment compensation. | Verification form completed by| Telephone or in-person contact | Benefit notification letter | | Frequency of payments and expected |

| |agency. |with agency documented in a file |signed by authorizing agency. | |length of benefit term must be verified. |

| |Payout statement from providing|by an owner. | | |Income not expected to last full 12 |

| |agency for the past year to |NOTE: For all oral verification,| | |months must be calculated based on 12 |

| |present date. |file documentation must include | | |months and interim recertification |

| | |facts, time and date of contact, | | |completed when benefits stop. |

| | |and name and title of third | | | |

| | |party. | | | |

| Welfare payments (as-paid states | Verification form completed by| Telephone or in-person contact | Maximum shelter allowance | Not appropriate. | Actual welfare benefit amount not |

|only). |welfare department indicating |with income source, documented in|schedule with ratable reduction | |sufficient as proof of income in |

| |maximum amount family may |file by the owner. |schedule provided by applicant. | |“as-paid” states or localities since |

| |receive. |NOTE: For all oral verification,| | |income is defined as maximum shelter |

| |Maximum shelter schedule by |file documentation must include | | |amount. |

| |household size with ratable |facts, time and date of contact, | | | |

| |reduction schedule. |and name and title of third | | | |

| | |party. | | | |

|Zero Income. |Zero Income Affidavit. |Not applicable. |Not applicable. | Applicant/Household self-certifies | Local Administering Agency and Landlord |

| |Additional third party | | |to zero income. |may require applicant/household to sign |

| |verification from, IDES, Public| | | |verification release of information forms|

| |Aid, HFS, and Social Security | | | |for state, local, and federal benefits |

| |confirming the household | | | |programs. |

| |receives no monies from these | | | |Local Administering Agency and Landlords |

| |agencies. | | | |may require the household to recertify |

| | | | | |zero income status on a quarterly basis. |

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