Lender asking for gifted deposit declaration for money not part of deposit

missmortgagehunter

I am in the midst of a mortgage application. My mother has gifted me the deposit, proof, letters and gifted deposit declaration has been provided.

Prior to application, I had a large savings account for my Wedding fund. There has been money deposited into this account by myself, my partner, my mother and my grandfather. I had made payments for wedding arrangements on credit cards, and at the start of our mortgage journey, used this money to clear the cards. The lender firstly asked me how I paid off my cards... I provided all the statements... the lender is now asking for further 'gifted deposit declarations' from everyone that contributed to the wedding fund. 

Thing is - my partner hasn't 'gifted' me anything, he's my partner, he's contributed to his own wedding pot. And the wedding moneys gifted by mum and grandad are completely separate to the mortgage deposit which is already been proven, accounted for and signed for. 

Tearing my hair out if I'm honest... The whole thing has been so intrusive. I understand they have to do their due diligence and check moneys are legit. But money that was given to me months ago, by family, for my wedding, and the way in which I paid my credit cards surely is all a bit much? I cannot ask people to sign a mortgage deposit gift declaration when they haven't even given any money towards the deposit? Surely that's not right? 

silvercar

If the lender won’t see reason, your options are to find a new lender or to ask your relatives to provide what has been requested. Maybe your solicitor could ask the lender to reconsider.

missmortgagehunter

silvercar said:

If the lender won’t see reason, your options are to find a new lender or to ask your relatives to provide what has been requested. Maybe your solicitor could ask the lender to reconsider.

It’s mental. People aren’t going to sign to say they gave deposit moneys when they didn’t… and surely that’s fraudulent. They’ve already had the letter for the actual deposit. Our brokers gone back to the lender to say the same so will just have to keep fingers crossed the lender sees sense! 

grumpy_codger

Have you already found a solicitor who is satisfied with the AML checks?
The AML paranoya spreding around affected everybody - estate agents, banks, solicitors. AFAIK, typically, it's the solicitors that perform the most thorough checks, not the banks, but the banks are least flexible - take it or leave it.

My point being - apply to a different lender, but be prepared to possible similar problems with your solicitor.

missmortgagehunter

grumpy_codger said:

Have you already found a solicitor who is satisfied with the AML checks?
The AML paranoya spreding around affected everybody - estate agents, banks, solicitors. AFAIK, typically, it's the solicitors that perform the most thorough checks, not the banks, but the banks are least flexible - take it or leave it.

My point being - apply to a different lender, but be prepared to possible similar problems with your solicitor.

Thank you - I understand the need for them all to be careful, I really do, but this isn't about the deposit. It's about wedding funds from last year that have nothing to do with them... Solicitor was fine, appears to be the bank that won't let it go. 

ACG

Who is the lender? 
I think if you try another lender you will be fine. A conversation with the underwriter should be fine, but we have seen some silly requests over the years. Usually we can overcome it (and I suspect you could with this), but I cant say for sure. 

missmortgagehunter

ACG said:

Who is the lender? 
I think if you try another lender you will be fine. A conversation with the underwriter should be fine, but we have seen some silly requests over the years. Usually we can overcome it (and I suspect you could with this), but I cant say for sure. 

West Brom… I think our broker works with them regularly. There just seems to have been SO many questions. We haven’t got to the bottom of this one yet, and hopefully we can overcome it, but they’re now asking why I’m getting a mortgage without my partner, who I’m not married to, who hasn’t contributed to the deposit and who I’m not even financially linked with. There just seems to be new, crazy questions every day… just when I think we’re done, there’s another one and it’s just dragging on and on. I’m losing the will! 

ACG

This does happen with the more specialist lenders. 
Just remember:
1) Its not you. 
2) If they are asking questions, they are not declining you.
3) You will appreciate everything a whole lot more once you get the keys. 

I dont use West Brom much (if at all), but I do a lot of adverse and I have to pre-warn people with what to expect and not to worry. 

missmortgagehunter

ACG said:

This does happen with the more specialist lenders. 
Just remember:
1) Its not you. 
2) If they are asking questions, they are not declining you.
3) You will appreciate everything a whole lot more once you get the keys. 

I dont use West Brom much (if at all), but I do a lot of adverse and I have to pre-warn people with what to expect and not to worry. 

I appreciate your response more than you know! Thank you. Reassurance was needed this evening before the long weekend! Have a good weekend 

ACG

I thought you might. 
As I said, we do a lot of adverse so I probably have a good idea of how many times you want to ring your broker every hour haha. 

RedFraggle

ACG said:

This does happen with the more specialist lenders. 
Just remember:
1) Its not you. 
2) If they are asking questions, they are not declining you.
3) You will appreciate everything a whole lot more once you get the keys. 

I dont use West Brom much (if at all), but I do a lot of adverse and I have to pre-warn people with what to expect and not to worry. 

What a lovely person you are ACG. You've made the OPs weekend so much better. Good on you!