Excessive level of info required from solicitor re gifted deposit

nik_k

Fosterdog wrote: »

How is it ruining it for you? It is just providing a bit of extra information, it's not hurting anybody or a cause for any stress or concern unless you or your mum actually have something to hide.

If you had saved the deposit yourself you would have to provide exactly the same information showing the money trail.

I guess your other option would be to decline your mothers generous gifted deposit and save your own.

OK, 'ruining' might have been a tad strong choice of a word, but the underlying feeling is still the same. Just because of a minority of criminals laundering their funds through house purchases etc., the rest of us need to jump through an increasing number of hoops to prove the provenance of our funds. Of course we will comply with whatever rules there are, and endeavour to supply whatever paperwork is required

nik_k

steampowered wrote: »

Basic verification of the source of funds is very standard. Your mum just needs to provide e.g. proof of getting paid salary to build up the payments.

The solicitor needs to know where the funds came from to be sure it doesn't come from the proceeds of crime.

Fair enough, if it has to be done, it has to be done. However, I don't care how (obviously non-crime related) my Mum has built up her savings, she's been retired for years, it's just a shame that she has to prove how she's achieved it

nik_k

Norman_Castle wrote: »

Ask the solicitor if a statement for the account holding the funds for the last 6 months is sufficient.

Thanks for the suggestion, worth a try!

[Deleted User]

Money laundering is one part of it but its also for mortgage purposes. Solicitor has to check the deposit has come from the source that is acceptable to the lender.

Lender doesnt allow gifts from uncle but does allow gift from mum? Well how about uncle just gives the money to mum and she makes the gift? You may think its the same result but its not.
Some lenders dont allow overseas gifts
Some lenders need money to be in a UK account for 3 months prior to application
Some lenders dont allow the person gifting the money to live in the property. Easy way around this would be to get someone else to gift the money? Not if the solicitor goes back to verify where the money started

It's all down to money laundering and gifting rules

HampshireH

Our gifter had to prove inheritance source, pension and pay slips.

They too felt it excessive as it was a sensitive time (grieving) and quite intrusive. However a quick phone call from our conveyance solicitor and their worries were alleviated. They just needed to understand the reason why rather than just the request.

Perhaps if your mum spoke to them it would be less stressful?

pimento

It's a strange world. When I called my mortgage company to pay off my mortgage for a sum 10 times the amount of the OPs deposit using my debit card, they didn't ask me where the money came from then.