Income verification-Barclay

[Anonymous]

Did some searching, but this is kind of a specific subject so I didn't find much.

I applied for a Hawaiian Airline card and got a letter needing income verification. I called Barclay and they told me to get a return copy form the IRS as verification...a W-2 will not suffice. I stated my gross income on the app, but the IRS document does not take into account my elected pretax deductions such as my 401k and HCRA. So there is over a $20k difference in what I stated and the documentaion provided. I mentioned this to the CSR and he said, "Yeah, that will probably get you denied." Is this a crazy oversight on there part or what? I've never been asked for income verification in this manner in my 23 year credit journey. 

Input?

Thanks

[FinStar]

Hi @Anonymous, welcome to the forums.

It appears the 4506-T form is becoming a bit of a trend with some issuers if there's a perceived data discrepancy based on the information provided on the application.

You have the option not to provide or comply with the request, but then the application will be declined. And, since W2s do not appear to be an option in this case, you'd have to weigh the merits of the application.

[Anonymous]

Just tell Barclay to go climb a tree. Hawaii airline card is not worth the effort.

[Anonymous]

Lots of 4506-T requests lately. Wonder what’s causing them.

Sorry for the hassle OP. I would evaluate if the card is worth it to you.

[Anonymous]

Couldn't you also submit a copy of your 401 disbursements? After all, on the application they say that you may include "all household" income.

So wouldn't they need some kind of alternate proof, such as Alimony Child support etc.? 

If you spoke to an UW instead of some random CSR, you might be able to work out a method to include additional income sources not present on Tax returns. 

I assumed that a person would include all revenue in their return, taxable or not? 

I do

[Anonymous]

So my original username would not allow me to log in, and when I tried the "forgot your password function" the site said they had no record of me and then allowed me to make a second account with the same email address. Whatever.

The IRS doc only has "Taxable income". I also attached my final stub to show the gross income. If they don't like it, oh well. Was trying to do a cheap 5 dayer to Kauai with the wife. I guess it shouldn't surprise me, my Barclay research after having the issue has revealed quite a bit of shenanigans.

Also, not sure what a UW is but they referred me to the fraud department! That's who I spoke to. Maybe I'm better off without.

Thanks for the responses!

[CreditInspired]

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@Anonymous wrote:

Did some searching, but this is kind of a specific subject so I didn't find much.

I applied for a Hawaiian Airline card and got a letter needing income verification. I called Barclay and they told me to get a return copy form the IRS as verification...a W-2 will not suffice. I stated my gross income on the app, but the IRS document does not take into account my elected pretax deductions such as my 401k and HCRA. So there is over a $20k difference in what I stated and the documentaion provided. I mentioned this to the CSR and he said, "Yeah, that will probably get you denied." Is this a crazy oversight on there part or what? I've never been asked for income verification in this manner in my 23 year credit journey. 

Input?

Thanks

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Hi and welcome to myFICO

The transcript is a very detailed document. A lender should be able to see that you have 401K deductions or any other deductions. The bottom line is that the annual income will still be whatever you said your annual income was at time of application. So if you made $175K last year, your transcript will show your annual wages before any deductions as $175K last year, or am I missing something. Or were you self-employed and wrote off a lot of expenses?

The only CCC that I have come across that ask for net income was Macy's and that shocked me because they are not taking into consideration my elected deductions.

[tcbofade]

UW= Underwriters.

Barclay isn't a favorite lender around here.  As you mention, many shenanigans.  

Good luck!

[Anonymous]

Hey guys, back again with more Barclay silliness. After submitting the proper documents I called a couple weeks later and they told me they were not sufficient. The rep then put me on hold and came back and said that she approved me...with an $1,100 limit. I have a credit score of over 800 and a proven income of $250k and they gave me $1,100 limit....

They said I could call in and ask for an increase when I got the card. I just called and they said they needed to do another hard inquiry to give me an increase. I told them they could shove it. The most ridiculous experience I've ever had with any credit company.

[OmarGB9]

Yeah that's Barclays for you, unfortunately.