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1Clear out junk files and repair common Windows errors2Fix the driver behind crashes, sound loss and screen glitches3Repair Windows errors before they cause bigger problemsTell the mortgage broker or lender immediately that the deposit includes a family gift, state the exact amount and donor, and say whether the money has already been transferred. Then ask for that lender’s current gifted-deposit form and document checklist. A query about a large contribution is usually a request to verify the arrangement and the money’s source, not proof that your application has failed. The outcome depends on the lender’s policy and on whether the money is genuinely an unconditional gift.
Why a lender asks about a family deposit
Mortgage lenders must understand how your deposit was built and whether you have an undisclosed liability. A family contribution can reduce the amount you need to borrow, but the lender still needs to know whether the donor expects repayment, a share of the property, or a legal charge securing the money. RBS’s consumer guidance says a lender may ask you to prove that the money is a gift and whether any repayment is expected.
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The lender may also need to trace where the donor obtained the funds. A statement showing that money arrived in your account proves the transfer, but may not prove the original source. Depending on the case, the lender can request the donor’s statements, a signed declaration, evidence of the transfer, or records explaining an overseas or recently accumulated balance.
Policies differ. A threshold or statement period published by one lender is not a market-wide rule. Treat the request as a document and disclosure exercise: give the lender the true terms, obtain its exact requirements, and keep your broker and conveyancer working from the same information.
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What to do first
- Get the request in writing. Ask whether the lender is querying the gift itself, the donor’s source of funds, the route of transfer, or all three. Request the name and version of any form it wants completed.
- Describe the arrangement accurately. List every donor, the amount from each person, the date of any transfer, and whether the contribution is already in your account. State plainly whether repayment, interest, a share of the property, or security over the property is expected.
- Ask for the lender’s current checklist. Requirements can change by lender, loan type, donor, country of origin and timing. Use the lender’s own form where one is supplied rather than substituting a generic letter.
- Build a traceable evidence file. Gather the signed declaration, donor identification if requested, statements showing how the donor accumulated the money, and statements showing the transfer to you. Keep documents in date order and explain any gap or movement between accounts.
- Send documents through the approved channel. Your broker or lender can tell you whether to upload them to a portal, send them to an underwriter, or provide them through your conveyancer. Do not email sensitive records to an unverified address.
- Check that the conveyancer has the same facts. Conveyancers conduct separate source-of-funds and anti-money-laundering checks. Mortgage approval of a gifted-deposit form does not mean those legal checks are complete.
What a gifted-deposit declaration normally needs to establish
Use the lender’s wording, but expect questions covering the following points:
- the donor’s full name and relationship to you;
- the exact amount being provided and the date it was or will be transferred;
- that the money is a gift rather than a loan, if that is true;
- that no repayment, interest, ownership share or other benefit is expected;
- that the donor will have no legal or beneficial interest in the property and will not register a charge, where the lender requires that confirmation;
- the donor’s address, identity evidence and contact details, where requested; and
- the source of the donor’s money, supported by statements or other records the lender accepts.
Read every declaration before signing. If the donor expects repayment or wants protection through a charge, trust arrangement or ownership interest, do not tick a box saying the gift is unconditional. Tell the lender and ask how it wants the arrangement documented. Misstating a loan as a gift can create underwriting, contractual and conveyancing problems later.
Documents that may be requested
Proof of the gift and its terms
The lender may ask for its signed gifted-deposit form or a donor letter. The document normally identifies the donor, amount and relationship and confirms whether repayment or a property interest exists. Some lenders also request evidence that the donor is over 18 or that all donors have signed individually.
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Proof of the donor’s source of funds
Possible records include bank or savings statements, investment-sale records, pension or inheritance documentation, or completion statements from a previous property sale. The acceptable evidence is lender-specific. If the money was built up gradually, provide a coherent sequence rather than a single balance page that does not show how the balance arose.
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Proof of the transfer
Statements should show the payment leaving the donor’s account and arriving in the account being used for the deposit. Keep the transaction date, amount and account-holder names visible. If money passed through an intermediary account, explain why and include the relevant statements instead of leaving an unexplained gap.
Identity and address records
A lender or conveyancer can request identity and address documents for donors as part of its verification. Supply only through the secure process specified by the professional handling your case.
How lender policies can differ
The following examples come from published lender guidance. They illustrate why you must follow the selected lender’s rules rather than assume one universal threshold.
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| Lender | Published point | How to use it |
|---|---|---|
| RBS | Its consumer guide says a lender will want evidence that the money is a gift and whether repayment is expected. | Use this as a prompt to disclose the true terms and prepare evidence; it does not set every lender’s form or threshold. |
| Nationwide Building Society | Its guidance asks for its Gifted Deposit Form for gifts of £10,000 or more. It says gifts received in the preceding 12 months should be disclosed. | The £10,000 threshold and 12-month treatment are Nationwide requirements, not universal UK rules. |
| Nationwide Building Society | For recent gifts, it describes statements showing where the funds came from. Its guidance gives three-month statement periods for certain EEA non-UK funds or donors and six months for funds or donors outside the EEA. | Confirm which period applies to your case and whether additional records are needed. |
| NatWest | Its guide says a lender may ask for proof and identify the source of the gift among the information requested. | Expect source-of-funds questions even when the transfer itself is clear. |
Nationwide also says that a gift received more than 12 months ago, from inside or outside the UK, can be treated as a standard deposit under its policy. That statement applies to Nationwide’s process; another lender may assess an older gift differently or ask for its own evidence.
If the family contribution is not an unconditional gift
The donor expects repayment
Call it a loan and disclose the proposed repayment terms, even if there is no interest or a fixed repayment date has not been agreed. Ask the lender whether the commitment must be included in affordability calculations or whether the arrangement makes the mortgage ineligible. Do not sign a non-refundable gift declaration to make the application fit a form.
The donor wants a share or security
A donor who expects an ownership share, rental income, a right to proceeds on sale or a charge over the property is not making a simple gift. Tell both the lender and conveyancer before exchange of contracts. The legal structure can affect title, the mortgage deed, tax and the lender’s willingness to proceed.
The family calls it a gift but has an informal understanding
Informal promises still matter. If everyone expects you to repay the money when circumstances improve, explain that expectation. The lender can then decide what evidence and underwriting treatment apply. Accurate disclosure is safer than relying on the absence of a written loan agreement.
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When the money came from overseas or several accounts
Cross-border funds often require a longer paper trail because the lender must understand currency conversion, account ownership and the original source. Ask the lender exactly which statement period and translations it accepts. Nationwide’s published example distinguishes three months for certain EEA non-UK funds or donors from six months for funds or donors outside the EEA, but those periods should not be applied to another lender without confirmation.
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Explain every transfer between accounts, including a foreign-exchange provider, joint account or temporary holding account. Keep records of exchange rates and fees where they help reconcile the amount received with the amount sent. If documents are not in English, ask whether a certified translation is required before ordering one.
If the donor cannot obtain an old statement, or the money was recently converted from an asset, pause rather than guessing at a substitute. Ask the lender what alternative evidence it will accept. The available lender guidance does not establish one universal replacement-document rule.
Independent reader supportYour contribution helps us test, update, and keep practical guides available for everyone.What happens after you submit the evidence
The broker or lender may refer the file to an underwriter, request clarification, or confirm that the documents satisfy its gifted-deposit condition. Respond to follow-up questions consistently: use the same donor names, amounts and dates on every form and tell the lender if the amount changes.
A request for more information can delay the mortgage offer or exchange timetable. Tell your conveyancer and estate agent that documents are being reviewed, and do not commit to an exchange date that assumes approval before the lender confirms it. If the lender declines the arrangement, ask whether the issue is the donor, the repayment terms, the source evidence or the property structure. A broker can then discuss whether correcting the evidence or choosing a different lender is appropriate; no lender outcome is guaranteed.
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Common mistakes and how to avoid them
- Calling a repayable contribution a gift: disclose the repayment expectation and obtain a decision on the correct treatment.
- Providing only your own bank statement: include the donor’s source and transfer evidence when requested.
- Assuming a lender’s threshold applies everywhere: Nationwide’s £10,000 form threshold is a Nationwide rule.
- Ignoring older gifts: tell the lender when the money was received; Nationwide’s treatment of gifts over 12 months old is specific to its policy.
- Leaving unexplained account movements: map the route from the donor’s original source to your deposit account.
- Signing before reading: check declarations about repayment, charges and property rights line by line.
- Assuming mortgage approval completes legal checks: keep responding to the conveyancer’s separate source-of-funds requests.
A concise message you can send your broker
“My deposit includes a family contribution of £[amount] from [donor name and relationship]. The money was transferred on [date]/has not yet been transferred. It is [an unconditional gift / a repayable loan / an arrangement involving a property interest]. Please confirm the lender’s current form and the exact documents required to prove the donor’s source of funds and the transfer.”
Replace the bracketed details with the truth and send the message through your broker’s secure channel. If there is more than one donor, list each person and amount separately.
When to seek specialist help
Ask for a detailed lender or conveyancer explanation before proceeding if the contribution is repayable, secured, connected to a trust, funded by a recent property sale or inheritance, routed through several countries, or supplied by someone who is not an immediate family member. A broker may explain lender policy, while the conveyancer handles title and source-of-funds issues. Neither can turn an inaccurate declaration into an acceptable gift, so start with full disclosure.
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