Cash deposit

klm1710

Myself and my husband have saved some cash, mainly cash gifts from our wedding five years ago and selling various things such as jewellery. Im not a massive fan of banks hence why we've sort of kept it under the mattress so to speak. We are now looking to buy a house and want the cash in the bank, it is £8k. I thought it was a simple deposit of cash but I've now found out it may raise suspicions, can anyone tell me what I can do regarding this?

davidmcn

I would get it into the bank as soon as possible. When are you planning to buy? If it's been in the bank a few months there may well be no further questions asked by solicitors/lenders. If there are, there's nothing much you can do to avoid them.

Thrugelmir

Shame you took this course of action. As you could have made yourselves some money by depositing the money in a Help to Buy ISA.

klm1710

Davidmcn

We're looking to buy shortly after christmas, viewing properties now and in talks with mortgage advisors.

Thrugelmir

We have some saved in HTBisa also, we both do, but as we are paying in the maximum per month we havent been able to deposit this into it.

klm1710

Say they ask questions, how can we provide evidence of the gifted money/cash earned from selling the jewellery? I have no proof at all. Then what?

comeandgo

Can you not pay in £1000 a month or use the money you have saved to fund your food shopping and not take anything out of the bank? I have paid in over 10,000with no questions asked.

klm1710

That would take over 8 months to pay in, we're hoping to be out before then. We're hoping to complete before april time. We wont spend £8k in that amount of time.

I believe it isnt the deposit that's an issue, it's the solicitor on completion.

davidmcn

klm1710 wrote: »

Say they ask questions, how can we provide evidence of the gifted money/cash earned from selling the jewellery? I have no proof at all. Then what?

There's nothing you can really do to improve the situation, just bank the money sooner rather than later and deal with any questions if and when they arise.

davidmcn

klm1710 wrote: »

Say they ask questions, how can we provide evidence of the gifted money/cash earned from selling the jewellery? I have no proof at all. Then what?

Like I said, there's nothing you can really do to improve the situation, just sort it out sooner rather than later and deal with any questions if and when they arise. While it's not necessarily a general rule of thumb, many solicitors won't be looking back more than three months when checking for source of funds, and assume that anything you've had in your account for longer than that must be your money.

Thrugelmir

klm1710 wrote: »

I believe it isnt the deposit that's an issue, it's the solicitor on completion.

Your solicitor works for the lender also.

If you need the money to fund the purchase, deposit it as soon as is possible. The whys and wherefores of the source of the funds are somewhat irrelevant. As all there is is your word. There's no hard evidence available.