Paying off Mortgage early - Lender wants to see last 3 months bank statements in full

sjw64

Hi

I am in a position to pay off my mortgage early - it's less than £15k but the lender has stated that I must supply 3 x months of bank statements where the funds are coming from as it's a requirement of the Financial something or other.

I have to admit that I find this very odd. 

I can semi-understand if the funds came from a bank account in Columbia under the name Pablo Escobar but it's MY savings from over the years and very private. 

Surely they have no right to see the transactions I spend my money on or where the income comes from.

Last time I bought a car they didn't say 'where's the money from Pablo'?

Thanks

bluelad1927

sjw64 said:

I can semi-understand if the funds came from a bank account in Columbia under the name Pablo Escobar but it's MY savings from over the years and very private. 

But isn't that why they are asking.

Taking your word for it probably falls short of their anti money laundering processes

Hoenir

Nothing odd. Where sizable amounts of cash are involved. Given most people happily provide information. Suspicion naturally arises when there's a reluctance to comply.  Nor is anybody interested in your personal data in the slightest. Why should they be. 

BarelySentientAI

They have every right, and actually are legally required to do so. 

Should be extremely easy for you to demonstrate though, so where's the problem?

Jemma01

If it bothers you this much, move your money to a savings account over a 3 month period, and don't use that account to buy anything.

I have 3 accounts, 

Savings (only deposits in), 

my business account with business billing and expenses,

and my current account with my private transactions. 

My mortgage application covered the business and the savings, they had no business to see my current account.

MWT

Jemma01 said:

If it bothers you this much, move your money to a savings account over a 3 month period, and don't use that account to buy anything.

I have 3 accounts, 

Savings (only deposits in), 

my business account with business billing and expenses,

and my current account with my private transactions. 

My mortgage application covered the business and the savings, they had no business to see my current account.

Probably wouldn't help in this case, as for you, it worked because you showed them where the money came from (business account) and where it went (savings account), they were not interested in whatever else you spent your money on.

In this case just opening a savings account and dropping £5k a month into it is still going to leave them wanting to know where the money came from...

sjw64 said:

Surely they have no right to see the transactions I spend my money on or where the income comes from.

Were it came from is at the core of their AML requirements, so yes, source of funds is important to them.

... what else you spend on is of no concern.