Proof of Deposit - Mortgage

Kirstie70

Thanks for ur reply. So does anyone know if they can and will request my mums bank statement? Im so worked up about all of this. We have worked so hard to save this, then finally get an offer accepted and now im worried they cant accept my deposit! I think my only hope is to ask my dad to gift me it then refund him- something i really really dont want to do and im not even 100% he has it.

Would it be classed illegal or fraudulent if my partner had to 'gift' the money to my mum who then gifted the money to me? would this be acceptable? Or if my partner said he owed my mum it for when he lived with us for a year without a job? Thanks anyone for any help im really at my wits end

Kirstie70

my mum also suggested her getting a loan to give me it? would this work? i know its a bit extreme but id pay it off straightaway or would it be pointless as the intrest for the full loan is added on at the start- is this the case? or added each month?

MagicCats

I think you need to stop and take a breath!

Can you clarify who you're applying to for the mortgage, and exactly what their policy is on gifted deposits. Also have you told them your BF is going to be living at the property?

Getting parents to take out loans is only going to compound things.

Kirstie70

Hi thanks for your reply, the lender is Abbey. There lending criteria states that the deposit must not come from anyone who is going to stay at the property but not named on the mortgage...

Maybe someone could clear up the legal side of him just gifting my mum the deposit and then she gifts me it? Clearly it will show that the deposit is effectively from him but in the legal eyes should this not be enough to satisfy the mortgage lender as far as they can see the money was gifted from my mum? Maybe im clutching at straws lol

Thanks

12andy

Hi there,I've just gone through something similar.basically I had 10% saved myself but the extra 5% to make it 15% came from my mum gifted. The mortgage company wanted proof where my part of the deposit came from i.e saving statements then when the the mortgage offer came it stated the solicitor as part of the legal work would require my mum to sign legally that she had no charge to the house,also you will be asked if your boyfriend is going to live with you cos he will have to sign a legal document to say he's no right to the property. Another thing to be aware of is besides yourself having a bankruptcy search done by the solicitor,one will also be done on the person whoever gives you the gifted deposit..good luck

bobula

wowzer - i must have got lucky - FTB here and no one asked to see where the deposit came from with the RBS.

my portion came from savings but my partners portion came from compensation for an accident she had when she was younger. (and it wasnt an ambulance chaser it was negligance on the part of a hire company)

Kirstie70

Thanks for your replys, i think my best option is for my partner to give the money to my mum and she gifts it. Hopefully a full spanish equsition into where my mum got the money wont be done.... I can provide bank statements where my money is coming from.

jonas123

I had this issue recently - my solicitor wanted to see money in the account with 1 full month's statement. If the money was sitting in my account, and there was no 'movement' of that money into my account within the last month, then they were fine with it.

As my mum transferred the money into my account, I had to get 1 month's statement from her. She had transferred it into her account from another one of her accounts, so had to get 1 month's statement from that account too!

So in my case, they wanted to trace the money back with proof that it had been held for at least 1 month. Hope that helps, don't think it's the case for all applications.

Yorkie1

Kirstie70 wrote: »

Thanks for your replys, i think my best option is for my partner to give the money to my mum and she gifts it. Hopefully a full spanish equsition into where my mum got the money wont be done.... I can provide bank statements where my money is coming from.

I'm sorry but I disagree with the others. I would view this as either fraud, or false accounting.

You are deliberately making a false statement to the mortgage lender in order to get the mortgage. The deposit does not in fact come from your mother; it comes from your partner. Your mother would have to sign a letter or a legal statement stating that the money was hers and that she made no formal claim on it. So your mother is also party to the fraud.

Fraud is dishonestly making a false representation, knowing that it might be untrue or misleading, with intent to make a gain for oneself or another, to cause loss to another or to expose another to risk of loss.

False accounting is dishonestly providing information which is false, misleading or deceptive with a view to cause loss to another.

Kirstie70

Yeh your totally right Yorkie. Thanks for ur reply. Decided not to go ahead with that and just spend the deposit on a nice caravan which solves all our problems