Husband gifting deposit for house

LeedsLass2012

Hi looking for advice

My father in law passed away and left my husband everything,  due to my husband history of being bankrupt - he is 3 years discharged we got a mortgage in my name soley. We are using some money from the inheritance as the £21K deposit ,our solicitor said it would be classed as a gift so we had to prove it was a inheritance so we brought 6 months bank statements each, death certificate,  grant of probate  , will and my solicitor had my husband sign a letter that he did not want the money back and it was a gift to me.

Lloyds tsb who made the mortgage offer have now said they dont accept my deposit as its from my husband! Nothing to do with his bankruptcy its there policy not to accept deposit from spouses!
Luckily I had a mortgage broker who is as shocked as us and is getting onto Lloyds tsb , I wondered if any one had any advice if they've been in a similar situation? Or any advice on the policy from Lloyds tsb?

Thanks for reading 🙂

K_S

@leedslass2012 Is this Lloyds (direct only, no access for brokers) or is it TSB (direct and brokers)?

Generally speaking, where the spouse will be a non-borrowing occupier, as your husband appears to be in this scenario, plenty of lenders have a policy to not accept them contributing to the deposit. So it's not uncommon.

SpiderLegs

Didn’t your broker check what Lloyds policy was before submitting the application?
im not sure why anyone would be shocked at it, as it sounds pretty obvious that they wouldn’t accept it as a gift.

Edi81

Lloyds TSB hasn’t existed for at least 7 years. Wishful thinking it was still 2013!

kingstreet

SpiderLegs said:

Didn’t your broker check what Lloyds policy was before submitting the application?
im not sure why anyone would be shocked at it, as it sounds pretty obvious that they wouldn’t accept it as a gift.

She went direct to Lloyds. They don't deal via brokers.

Thrugelmir

Been standard policy for decades. Your mortgage broker should have been aware of this. Basic stuff. 

K_S

K_S said:

@leedslass2012 Is this Lloyds (direct only, no access for brokers) or is it TSB (direct and brokers)?

Generally speaking, where the spouse will be a non-borrowing occupier, as your husband appears to be in this scenario, plenty of lenders have a policy to not accept them contributing to the deposit. So it's not uncommon.

@leedslass2012 I realise I might not have been sufficiently clear. This is not the policy across the board for all lenders. There are a good number of lenders who are ok with a non-borrowing occupier contributing to the deposit, including some mainstream ones.