What is the common term for the act of providing proof of income by an employer?

The act of providing proof of income by an employer is commonly referred to as Verification of Employment. This process involves an employer verifying a borrower’s employment status and income level, which is a critical step in the mortgage loan application process. Lenders often require this verification to ensure that borrowers have a reliable income source that will support their ability to repay the loan.

Verification of Employment typically includes details such as the borrower's position, duration of employment, and income amount. This information is essential for lenders to assess the creditworthiness of an applicant and determine the risk associated with issuing a mortgage.

While terms like Income Statement, Job Confirmation, and Payroll Summary may relate to aspects of employment or income documentation, they do not specifically denote the standardized process known as Verification of Employment. An Income Statement may refer to different financial documents, Job Confirmation is less commonly used in the mortgage context, and a Payroll Summary usually details pay periods and amounts rather than the broader verification needed for lending purposes. Thus, the most accurate and commonly accepted term in this scenario is Verification of Employment.