Solicitor asking about transfer of Inheritance

Ccn2623

My son and his partner are purchasing a property, he mentioned to the solicitor acting on his behalf that I gave him a 5k gift from money my mother had given me from the sale of her house (and downsized).

I received a letter from the solicitor asking to confirm where my son had gotten the money from which I replied it was an early inheritance from my mother which I then gifted some to him. 

I don’t know any rules, my mother gave me some money and I gave some money to my son and not just towards the purchase or the house. 

Now the solicitor is asking for all questions and wants bank statements, letters from solicitors who sold my mother’s house etc. 

My mother 84, is not willing to divulge her personal status.

I am worried now.

any advice would be appreciated 

thank you

chris

BoGoF

The solicitor is rightly asking for evidence of where the funds come from as part of Anti money laundering regulations.

You either comply with the request or the gifted amount won't be accepted.

Browntoa

As above , comply or it's not allowable 

Keep_pedalling

No such thing as an early inheritance it was a gift from your mother to you and then you made a gift to your son. Depending on how long ago your mother made the gift her involvement may not be required. When did she gift to you and where has that money been residing since then?

Ccn2623

BoGoF said:

The solicitor is rightly asking for evidence of where the funds come from as part of Anti money laundering regulations.

You either comply with the request or the gifted amount won't be accepted.

I’m happy to show my details, my mother is not.
what does it mean when you say not allowable?

Marcon

Ccn2623 said:

BoGoF said:

The solicitor is rightly asking for evidence of where the funds come from as part of Anti money laundering regulations.

You either comply with the request or the gifted amount won't be accepted.

I’m happy to show my details, my mother is not.
what does it mean when you say not allowable?

This sounds a bit heavy handed. You were the person who gave your son the money and £5K isn't in the same league as £500K!

Suggest to your son that he goes back to the solicitor (if necessary speaking to a more senior individual within the firm) and explains that his 84 year old grandmother is of a generation which doesn't disclose personal financial affairs, but his mother is perfectly happy to provide the documentation relating to her gift to him.

Sea_Shell

Keep_pedalling said:

No such thing as an early inheritance it was a gift from your mother to you and then you made a gift to your son. Depending on how long ago your mother made the gift her involvement may not be required. When did she gift to you and where has that money been residing since then?

On this point, is there a standard timescale as to when a gift becomes "yours" and doesn't require a further backdated audit trail?

msb1234

Marcon said:

Ccn2623 said:

BoGoF said:

The solicitor is rightly asking for evidence of where the funds come from as part of Anti money laundering regulations.

You either comply with the request or the gifted amount won't be accepted.

I’m happy to show my details, my mother is not.
what does it mean when you say not allowable?

This sounds a bit heavy handed. You were the person who gave your son the money and £5K isn't in the same league as £500K!

Suggest to your son that he goes back to the solicitor (if necessary speaking to a more senior individual within the firm) and explains that his 84 year old grandmother is of a generation which doesn't disclose personal financial affairs, but his mother is perfectly happy to provide the documentation relating to her gift to him.

This won’t get you anywhere. Money laundering regs now mean that when people purchase property, any deposit used has to have a clear paper trail of where it came from. If that can’t be done to the satisfaction of the regs, then the money won’t be acceptable to use as a deposit. 

msb1234

Sea_Shell said:

Keep_pedalling said:

No such thing as an early inheritance it was a gift from your mother to you and then you made a gift to your son. Depending on how long ago your mother made the gift her involvement may not be required. When did she gift to you and where has that money been residing since then?

On this point, is there a standard timescale as to when a gift becomes "yours" and doesn't require a further backdated audit trail?

When I gifted my daughter money towards her house deposit I had to show that the money had been in my account for 12 months. I provided redacted account statements.

Sea_Shell

msb1234 said:

Sea_Shell said:

Keep_pedalling said:

No such thing as an early inheritance it was a gift from your mother to you and then you made a gift to your son. Depending on how long ago your mother made the gift her involvement may not be required. When did she gift to you and where has that money been residing since then?

On this point, is there a standard timescale as to when a gift becomes "yours" and doesn't require a further backdated audit trail?

When I gifted my daughter money towards her house deposit I had to show that the money had been in my account for 12 months. I provided redacted account statements.

So, if your daughter had had this money in HER account for 12 months, would she not have had to provide YOUR details ?

Marcon

msb1234 said:

Marcon said:

Ccn2623 said:

BoGoF said:

The solicitor is rightly asking for evidence of where the funds come from as part of Anti money laundering regulations.

You either comply with the request or the gifted amount won't be accepted.

I’m happy to show my details, my mother is not.
what does it mean when you say not allowable?

This sounds a bit heavy handed. You were the person who gave your son the money and £5K isn't in the same league as £500K!

Suggest to your son that he goes back to the solicitor (if necessary speaking to a more senior individual within the firm) and explains that his 84 year old grandmother is of a generation which doesn't disclose personal financial affairs, but his mother is perfectly happy to provide the documentation relating to her gift to him.

This won’t get you anywhere. Money laundering regs now mean that when people purchase property, any deposit used has to have a clear paper trail of where it came from. If that can’t be done to the satisfaction of the regs, then the money won’t be acceptable to use as a deposit. 

There is going to be a clear paper trail - bank of mum and dad! Normally proving their ID and supplying their bank statements should be adequate.