Whats a Federa Pre-Qualification letter?

Whats a Federa Pre-Qualification letter?

At Federa, we are committed to creating a platform that provides a reliable source of information for both buyers and sellers. We understand that buying or selling a home is a significant life decision, and we want to make sure that all parties involved have access to accurate and trustworthy information.

We are proud to use our proprietary technology to verify a buyer's qualification before allowing offers to be submitted through our platform. Our approach offers several advantages. As a technology platform, we have more capabilities to validate a buyer's qualification than individual agents, brokers, or sellers. We use API connections with banks and lenders when possible to validate balances in real-time, unlike traditional brokerages that rely on screenshots or PDFs.

Protecting our users' personal information and privacy is a top priority at Federa. We use our own verification process because recent PII laws make sending certain documents containing Personal Identifiable Information illegal. While we do not guarantee or warranty a buyer's capabilities, our verification process provides a more reliable source of information for sellers.

We also take proactive steps to protect all users of our platform. Once a buyer has reached the limit of their available resources, we automatically mark any open offer as void and prevent any new offers from being sent without additional verification. This ensures that the buyer does not overcommit themselves and that sellers do not accept an offer that the buyer cannot close on.

We believe it's time for agents and brokers to bring outdated processes into the modern age. For a long time, brokers have known that screenshots of bank statements, printouts, or mortgage pre-approvals are often fake, misleading, outdated, or inaccurate. Checks are also a high-risk tool that can be easily falsified or counterfeited. Buyers today do not even have traditional bank accounts, let alone physical checks. Federa has never used a physical check in any of its business operations, and we find checks to be an unreliable tool. We believe that once an offer is accepted, the real proof of intent is posting the deposit. It's only then that real dollars are put up, and sellers and their stakeholders can feel comfortable that the deal is progressing with a serious buyer.

Finally, we want our users to know that we take our principles seriously. We strive to protect all users of our platform, and we will take appropriate action against anyone who acts against our principles. Our dedication to protecting the platform for all users is unwavering, and we will continue to improve and evolve our approach to ensure that our users have the best possible experience.
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