Gift from a relative/friend (Overseas transfer)

[lotuslakeland]

My husband & I are in the process of buying our first home. My sister wants to gift us part of our deposit (about £6K). She lives in the US and I, in the UK.
Is there a maximum limit she can transfer us?
Do solicitors want to see her bank statements too during the mortgage process?

[Claudia Skies]

I am not aware of any foreign exchange restrictions these days.

So far as I am aware there won't be any "money laundering" issues either.

[lotuslakeland]

Thank you Claudia..

[Sarnie]

Claudia Skies said:

I am not aware of any foreign exchange restrictions these days.

So far as I am aware there won't be any "money laundering" issues either.

Not correct.

There will be Money Laundering issues from the mortgage provider, the level of which will be dependent on the chosen lender.

The mortgage provider will ask for 'Proof of Deposit'. When you provide a statement showing a single, large, recent credit to your account they will ask you where it came from. It will be classed as a Gifted deposit. Some lenders won't accept a Gifted Deposit from a sister, some will. Some will want a signed letter from the sister stating that the money is a gift and not repayable or lenders will want to see ID of the person sending it along with a copy statement from the Giftee's account showing the money leaving their account and then crediting the applicants account.......

[lotuslakeland]

Thank you for all the info Sarnie. It was very helpful.

Here's some info I found out..
When we use gift money as part of our deposit, my sis needs to sign a gift letter which contains:
Her name and details, her relationship to me, amount of the gift, date the amt was transferred, a statement that no repayment is expected, her signature, address of the property being purchased. Along with this she will be required to provide her bank statement.

The gift letter is a good thing so that there are not confusions or misunderstandings later on.
It would be have been better if there was an option of her bank checking her a/c & giving a letter to my solicitor saying that no money laundering is involved and all is ok.
I am not at all comfortable asking her to share her bank statement with me and/or my solicitor.

[Sarnie]

lotuslakeland said:

Thank you for all the info Sarnie. It was very helpful.

Here's some info I found out..
When we use gift money as part of our deposit, my sis needs to sign a gift letter which contains:
Her name and details, her relationship to me, amount of the gift, date the amt was transferred, a statement that no repayment is expected, her signature, address of the property being purchased. Along with this she will be required to provide her bank statement.

The gift letter is a good thing so that there are not confusions or misunderstandings later on.
It would be have been better if there was an option of her bank checking her a/c & giving a letter to my solicitor saying that no money laundering is involved and all is ok.
I am not at all comfortable asking her to share her bank statement with me and/or my solicitor.

It's the lender that needs the letter and potentially the bank statement............