Gifted overseas deposit

firsttimebuyerproblems

Hi,

My dad has transferred me around 45K GBP
as a gift towards my house deposit.
He has two bank accounts one in PKR and one in GBP. To transfer funds , my dad withdrawn cash from PKR account, purchased Pounds, deposited to his GBP account and then transfred to my account in UK.

My worry is will this create a problem for me if they (Solicitor or Halifax) ask for source of funds?

I can get a letter from my dad to say these funds are gifted and not payable back to him... is that enough? Because bank statements will show cash deposits to my dad's GBP account..

davidmcn

firsttimebuyerproblems wrote: »

I can get a letter from my dad to say these funds are gifted and not payable back to him... is that enough?

That might answer the "is it a loan or a gift" question, but not "is it your dad's money in the first place?"

From the point of view of the anti-money-laundering regulations, the method he has chosen is only one step better than handing over a carrier bag full of used tenners to your solicitor. You'd be best to speak to your solicitor to see what they need, some are more lenient than others.

enginesuck

I would imaging it would be flagged that your Father had transferred 6 million Rupees into GBP In Pakistan, and again when transferring out of the country.


Any Solicitor will need to know source of the funds, which of course is simple, I'm sure your father can provide copies of his PKR bank statements, showing the money was saved legitimately.

davidmcn

enginesuck wrote: »

I'm sure your father can provide copies of his PKR bank statements, showing the money was saved legitimately.

It would, but it's the cash withdrawal which breaks the paper trail - it could have been anybody's cash which was paid into the other account. If the solicitor only wants to look back say 3 months then by the time the OP completes it might be ok though.

firsttimebuyerproblems

Thanks Guys, I think i will speak to my Solicitor beforehand about this and show him all bank statements of my dad. I don't want to create problem for anyone. If the mortgage broker and Solicitor are happy with it then I will proceed otherwise will have to stop here sadly!!!

Regarding why we have done it like this because its not allowed to transfer PKR directly to GBP account in Pakistan and you have to do it this way...unless you have a USD or EUR account.