Classed as a gift payment?

brendanb581

Hi All

Going through a mortgage app - question about where deposit has come from.

My mum gave me £5000 about a year and a half ago. Do i need to class this as a gift payment? Or can I just leave it as savings as it was a fair while ago??

Thanks

brendanb581

Anyone? I'm just wondering at what point money actually becomes classed as savings

mildredalien

What did she give you the money for? Are you actually using it for the house deposit? Is she expecting any of it back?

It might be better to disclose it and get her to confirm that it is a gift not a loan to cover your back in case of any queries about where the deposit is coming from.

While we haven't been gifted our deposit, the bank and solicitor only asked for the last 3 months of statements so I can't see how they'd know where the rest of the deposit came from (we've been saving for well over a year between us). I'm not sure what they would trigger them to ask for more information.

JuneAB

For anti money laundering purposes our solicitor asked to see our deposit being built up over time and we had to explain any large sums being paid in. We ended up having to show 18 months worth of statements (since we started saving). I hope this helps!