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Overpayment source of funds
Breggia
Posts: 1 Newbie
Dear Forum – I'm in the process of getting a £200k mortgage for a flat purchase. I'm expecting a large gift (around £100k) from a relative as a contribution towards my mortgage sometime later this year or early next year, and for this reason I'm considering a tracker rate with no early repayment charges.
It's not clear to me what restrictions apply (if any) in terms of the source of the funds for this lump sum overpayment, and whether or not the lender would want to check this. (In case it's relevant, the lender would be Barclays.) In principle I have nothing to hide as the money was acquired legally, but I am wondering whether the lender would accept an overpayment coming from a gift, for example.
Does anyone have experience with this? Thanks in advance for any advice.
It's not clear to me what restrictions apply (if any) in terms of the source of the funds for this lump sum overpayment, and whether or not the lender would want to check this. (In case it's relevant, the lender would be Barclays.) In principle I have nothing to hide as the money was acquired legally, but I am wondering whether the lender would accept an overpayment coming from a gift, for example.
Does anyone have experience with this? Thanks in advance for any advice.
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Comments
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AML checks likely to be doneDon't put your trust into an Experian score - it is not a number any bank will ever use & it is generally a waste of money to purchase it. They are also selling you insurance you dont need.1
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@breggia The lender will have no issues with the funds for a mortgage overpayment coming from a gift. Whether or not it triggers an AML check is hard to predict. Personally, I've never done that large a one-off overpayment, but never had any questions asked about overpayments in the 20-25k range.Breggia said:Dear Forum – I'm in the process of getting a £200k mortgage for a flat purchase. I'm expecting a large gift (around £100k) from a relative as a contribution towards my mortgage sometime later this year or early next year, and for this reason I'm considering a tracker rate with no early repayment charges.
It's not clear to me what restrictions apply (if any) in terms of the source of the funds for this lump sum overpayment, and whether or not the lender would want to check this. (In case it's relevant, the lender would be Barclays.) In principle I have nothing to hide as the money was acquired legally, but I am wondering whether the lender would accept an overpayment coming from a gift, for example.
Does anyone have experience with this? Thanks in advance for any advice.
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