Income verification or the proof of earnings is used for a number of reasons. All of which come down to determining whether someone is eligible for a service, a loan, a rental etc. For instance, financial institutions use income verification to ensure that an applicant can afford to pay back a loan, landlords or rental companies use it to see whether an applicant can afford to pay the rent for a location, government agencies use this process to verify if applicants qualify for government aid or other services and if they do up to which level that is.
What´s required? Typically payslips and / or bank statements are requested with certain rules and requirements to be checked against and across these documents.
Kofax offers solution frameworks that help automating income verification activities.
Income Validation - datasheet