A letter of explanation should tell the lender why an event happened and describe steps you’ve taken to solve or recover from the issue, if applicable. Not every borrower needs to write a letter ...

Writing a letter of explanation shouldn’t take very long. However, make sure you include all relevant details your lender might need. Here's a rundown of what you should include in an LOE ...

Your lender might also ask for an explanation if you hold a joint account with someone else but are applying for a mortgage in your name only. You should also be prepared to write a letter to ...