Went through something similar a couple years back when refinancing. We had multiple accounts and moved money around constantly—didn't even cross our minds it'd be an issue until underwriting flagged it. Ended up doing exactly what you did, annotating statements and writing a quick explanation letter. Felt tedious at the time, but once they saw the pattern and understood our system, things settled down pretty quickly. Guess it's just part of the process these days...
"Guess it's just part of the process these days..."
I get your point, but honestly, it doesn't have to be that complicated. Underwriters flagging frequent transfers isn't just a random hurdle—it's usually a sign they're struggling to clearly track your income and assets. A couple of ways around this:
- Consolidate your funds into one or two accounts at least 2-3 months before applying. Less movement means fewer questions.
- If that's not possible, at least keep clear records upfront. Annotating statements after the fact is doable, sure, but proactive documentation saves you from scrambling later.
I've refinanced twice now without any hiccups by simplifying my account activity beforehand. Underwriting isn't trying to make life difficult; they're just required to verify everything thoroughly. A little prep work upfront can save a lot of tedious explanations down the line...
Fair points, but isn't it also true that some lenders are just pickier than others? I've had similar account activity both times I refinanced—one lender barely blinked, the other grilled me endlessly. Maybe it's partly luck of the draw...?
- Definitely noticed the same thing myself—had two refinances within three years, similar financials both times.
- First lender barely asked anything beyond standard docs, second one practically wanted my life story and explanations for every little transaction...
- Makes me wonder if it's less about luck and more about each lender's internal policies or even the underwriter's mood that day?
- Either way, it does feel pretty random sometimes.
Had a similar experience when I refinanced last year. First lender was chill, second one grilled me about every Amazon purchase and random Venmo payment... definitely seems like each lender has their own quirks or internal hoops to jump through.
