I have a loan that was underwritten using the 2003 revenue value. We did obtaing the 2004 tax return and the lender used the 2004 value when completing the LR. Both ended up to have the same figure (under 500K), however I am curious about something. I thought you were supposed to use the value relied upon to make a credit decision. Is this right, or was the LO right in using the 2004 values for the LR entry?

Thanks in advance.

You are correct. You should report based on the revenue on which you relied when making the credit decision.

Thank you sir.