Gifted deposit from USA?

xxicklexx

My great aunt would like to give me a large amount of money towards buying our first home (around £100,000), she lives in the USA. 
Firstly, where should I keep this money when it's sent? I was thinking a LISA or is there somewhere else more suitable for such a large amount?
Secondly, can she send it in several small amounts or does it have to be sent as one payment? I have read that I will need an accompanying letter and there may be checks done of the origin?
Any advice is greatly appreciated!

K_S

@xxicklexx With regard to a mortgage, the lender may require a gift letter from your aunt and the lender/conveyancer may require sight of the source of funds.

Generally speaking, the longer it's been sitting in your account in the UK, the less likely it is to be subject to onerous checks.

Thrugelmir

LISA's are subject to an annual contribution limit of £4k. 

Whether it's trickled into your account over time or received as a lump sum. The bank is highly likely to question the source. 

All round it's easiest to receive it as a single lump sum. Advise the bank it's on the way and have the documentary evidence available for inspection if it is requested. You can then provide the same evidence to the solicitor when used for the deposit on the property you intend to purchase. 

MWT

If moving a sum of that size between USD and GBP, check which end is cheapest for the exchange.

US Banks can be surprisingly expensive when sending GBP drawn on a USD account due to large margins on exchange rates. 

Mark_1986

K_S said:
Generally speaking, the longer it's been sitting in your account in the UK, the less likely it is to be subject to onerous checks.

Do banks and solicitors normally ask for 3 or 6 months of statements when it comes to proof of funds/deposit? 

hippocrates1

I think this will cause a lot of issues. Great aunts are not as acceptable as gifters. Plus that’s a huge sum of moeny. Expect months of money laundering checks. 

[Deleted User]

very good point above.  I didnt see the 'Great' part on first read. 

Hippocrates1 is correct, the majority of lenders will not accept this family relationship for a gift.   Some will though as some lenders will allow a gift from any 3rd party but your options will be limited

Thrugelmir

Mark_1986 said:

K_S said:
Generally speaking, the longer it's been sitting in your account in the UK, the less likely it is to be subject to onerous checks.

Do banks and solicitors normally ask for 3 or 6 months of statements when it comes to proof of funds/deposit? 

For a £100k expect to have to provide definitive original source of the funds. Money laundering checks are far more detailed than the solicitor simply seeing a few bank statements. 

davidmcn

Thrugelmir said:

Mark_1986 said:

K_S said:
Generally speaking, the longer it's been sitting in your account in the UK, the less likely it is to be subject to onerous checks.

Do banks and solicitors normally ask for 3 or 6 months of statements when it comes to proof of funds/deposit? 

For a £100k expect to have to provide definitive original source of the funds. Money laundering checks are far more detailed than the solicitor simply seeing a few bank statements. 

Hmm, I wouldn't go that far. After all, what is the original source of any funds? You have to draw the line somewhere!

Generally people will take the view that money-laundering is a fast-moving activity, and if money has been in your (and/or the gifter's) account for long enough then it probably doesn't secretly belong to a third party.

Thrugelmir

davidmcn said:

Thrugelmir said:

Mark_1986 said:

K_S said:
Generally speaking, the longer it's been sitting in your account in the UK, the less likely it is to be subject to onerous checks.

Do banks and solicitors normally ask for 3 or 6 months of statements when it comes to proof of funds/deposit? 

For a £100k expect to have to provide definitive original source of the funds. Money laundering checks are far more detailed than the solicitor simply seeing a few bank statements. 

Hmm, I wouldn't go that far. After all, what is the original source of any funds? You have to draw the line somewhere!

Be little point in having money laundering regulations if people could simply transfer £100k sums around at will around the globe.  Easy enough to find money mules. 

davidmcn

Thrugelmir said:

davidmcn said:

Thrugelmir said:

Mark_1986 said:

K_S said:
Generally speaking, the longer it's been sitting in your account in the UK, the less likely t uit is to be subject to onerous checks.

Bthan the solicitor simply seeing a few bank statements. 

Hmm, I wouldn't go that far. After all, what is the original source of any funds? You have to draw the line somewhere!

Be little point in having money laundering regulations if people could simply transfer £100k sums around at will around the globe.  Easy enough to find money mules. 

but less likely that any "mule" would be trusted with £100k for over 6 months...