Nationwide gifted deposit letter...HELP PLEASE..

shamaila

Can anyone please help me. We are in the process of buying a property and are in the last stages of completing. Our mortgage lender Nationwide are asking for gifted deposit letters from everyone who has gifted us money towards the purchase of our property. Our solicitor has drafted this letter out which i have included below, can someone please advise me if this will be acceptable by nationwide. Please share your experiences. Thanks.

Borrowers: xxxxxx & xxxxxx
Account no: xxxxxxx

Donor’s Names : xxxxxxx
Donor’s Address: xxxxxxxxx
Amount of the Gift: £****
Relationship to Borrower: !Brother

! wish to make the above gift to the borrower to assist in the purchase of the property.
I declare this is a non-returnable and unconditional gift and there will be no express or implied trust arrangements which might give us any rights in the property or any right to reside in it as against Nationwide Building Society.
I understand that if the money is not intended as a true gift that there are other methods by which we can protect our financial interests and we understand the importance of seeking independent legal advice and have had the opportunity to do so

Signed
Donor……………………........................................
Dated.....................................................................
!

Wh05apk

I would lose the final paragraph, about it not being a true gift, if I was an underwriter at nationwide, I would start asking questions as to whether it is actually a gift if I saw that.

Also why did you get your solicitor to draft it? It should just be a simple letter stating it is a gift with no repayments required.

VALM

You should leave the letter be. Your Solicitor is acting for your Lender as well as yourself and have to report to them accordingly. I suspect that if you change the letter your Solicitor will insist that you sign what they have prepared as it is your Solicitor's responsibility to lodge the letter not yours. HTH

Dave_Ham

I think the solicitor letter is fine, although here is the one I always have clients use - which comes from the TMW website (part of Nationwide)

Mr Sample

Sample Street

Sample Town

Sample County

Postcode

Date (must be within the last three months)

Dear

Re; insert full mortgage property address

I confirm that I am gifting the sum of

£xxxxx.xx to insert full name of applicant

in respect of the purchase of the above property. I also confirm that this gift

is non-refundable and non-interest bearing and I will not retain any interest

in the property whatsoever.

The applicant is known to me as

insert nature of relationship with applicant.

Yours faithfully

Signature of Giftor

Name of Giftor

Date

ACG

I use the same one as Dave above.

shamaila

@ Dave Ham: do u think I should change the letter? Should it be addressed to nationwide including the address of the property?
Also as stated by who5pak does the final paragraph need to be removed?

Dave_Ham

Yes it should definitely be addressed to Nationwide and put in the property address.

The one I put is effectively a template than TMW (Nationwide) put on their broker website to tell us what they want - I have never had one refused.

I think either will be fine, and whilst I think it is ok the last paragraph is overkill (in my opinion)

Good luck with the move

shamaila

Dave can you plz kindly explain what the last paragraph means as I don't really understand it. It's not going against our case is it and nationwide won't refuse will they? I am really worried.

Shall I ignore the solicitors letter and type my own
Out like you suggested? Although the solicitors letter does have our nationwide mortgage application account number and borrowers names
On it. And somewhere in the letter nationwide building society has been mentioned. But what's worrying me is I don't want nationwide to refuse the case at this point when we are near to completion just because of what the solicitor has mentioned in the last paragraph?? Please help

sockpuppet

Don't Panic!

We alos use the same letter as Dave has posted. Just add the lenders name and the property address where stated and this is fine.

The first letter is okay, but I agree with Dave that it is a bit 'overkill' and if it is a gift, why mention anything about it not being a gift - you dont want to put any thoughts into the UW head about it not being a gift.

The letter on Dave Hams post is absolutely fine - we have never had one refused either

sockpuppet

VALM wrote: »

You should leave the letter be. Your Solicitor is acting for your Lender as well as yourself and have to report to them accordingly. I suspect that if you change the letter your Solicitor will insist that you sign what they have prepared as it is your Solicitor's responsibility to lodge the letter not yours. HTH

It is not the solicitors responsibility to lodge the letter - it is a basic letter to provided to Nationwide by the applicant as part of the processing of the application

shamaila

Dave can you plz kindly explain what the last paragraph means as I don't really understand it. It's not going against our case is it and nationwide won't refuse will they? I am really worried.

Shall I ignore the solicitors letter and type my own
Out like you suggested? Although the solicitors letter does have our nationwide mortgage application account name and borrowers names
On it. And somewhere in the letter nationwide building society has been mentioned. But what's worrying me is I don't want to refuse the case at this point when we are near to completion just because of what the solicitor has mentioned in the last paragraph?? Please help