Mortgage Blog

Recently we had a little bit problems with the assets
provided to the lender. I will put them together.

1)The lender wants to check it's your money.
a)Please don't black out the account number.
b)They want to see the statements with your name,
and address.

2)Why the lender needs the liquidable assets?
For the purchase, the lender wants the borrower
to sell the stocks or funds and deposit them to
a saving or checking account. This is the same as
one 1). They want to know that you use your own
money to close the tarnsaction. This is the money
from yourself(not from someone else, and you still
keep the funds).

3)Why the lender needs the explanation of the deposits?
Same as 1), tehy want to make sure all the transfer
is from yourself or legitimate. They have to follow
money laundry law, that any deposit of over $5000
should have the legitimate paper trail.

4)There is a lender check the source of the funds at
the last minute, the closing time. They still want to
make sure it's your own money.

So if you have a gift money, you have to plan it
earlier. The lender will only need one month
or two months statements. They don't care any transfers
before that.