Cash mortgage deposit

Richc123

Hi all, hopefull first time buyer here looking for a bit of advice. I'm new here, so apologies if I've posted in the wrong place!

I have a savings account which I'm hoping to pay a deposit from, and I have a meeting with a mortgage advisor next week, Hopefully to agree a mortgage in principal!

The only problem I can foresee is that most of the money in my savings account has been paid in cash by my mother over the years, and The last gift from her was in about 2012. My mum is quite old school and prefers to horde cash! I also sold my car in cash about 7 years ago, and those 2 things makes up the bulk of my savings.

So essentially, aside from my bank statement showing when it was paid in, there is no proof of where the cash has come from. I'm aware that solicitors/lenders would want to scrutinise this? Is there anything that I can do to explain this? Its been over the space of so many years that I'm not sure my mum will be able to provide proof over any of this money's origin either...

I absolutely will mention this to the mortgage advisor, I don't wish to complicate things or deceive anyone! I'm just hoping someone with experience in a similar situation will be able to shed some light. Thank you

csgohan4

If the cash has been in your account for the last 4-7 years, it generally should be fine.


As long as your honest and declare where the deposit comes from you should be fine?

davidmcn

Solicitors will usually only be checking back a matter of months, not years.

Oakdene

As above solicitors would only be concerned if the money had suddenly appeared over the last few months

safc88

I had some funds given to me from my parents for my deposit earlier this year, I left them in my savings account for 6 months and easily got the mortgage no questions asked. I didn't even have to provide bank statements

Richc123

Great, that's reassuring. Did your parents give you cash though? Or was it transferred?
Thanks

Richc123

Thanks for the help anyone, I honestly don't think my mum would be able to prove the money's origin without handing over about 15 years worth of bank statements! Of course I'll be honest from the start, and my paralegal friend is going to ask his solicitor friend if he would find it suspicious or not

getmore4less

That's how most people build up savings they put the money aside that they are not spending.
Does not matter where it comes from unless a lot is very recent.
NO lender is going to expect every gift B'day,X'mas,21st.... to be accounted for over the years.

If there was that level of scrutiny people would just spend the cash gifts and save more from income so the transfers came from the account their income went into.

What is critical is prove on income and current expenses look reasonable.