GIFTED DEPOSIT LETTER TEMPLATE
From MortgageExplained.co.uk. This is a general template, not legal advice.
Many lenders have their OWN gifted deposit form: if the lender or solicitor
gives you one, use theirs instead. Check the exact wording your lender wants
before signing.

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[Donor's full name]
[Donor's address]
[Date]

To: [Lender name] and [Solicitor / conveyancer firm name]

Re: Gifted deposit for the purchase of [full property address]
Applicant(s): [Full name(s) of the buyer(s)]

I, [donor's full name], of [donor's address], date of birth [DD/MM/YYYY],
confirm the following:

1. I am giving [buyer's full name(s)] the sum of £[amount] ([amount in
   words]) to be used towards the deposit for the purchase of the property
   at [full property address].

2. This money is an unconditional, non-refundable gift. It is not a loan.
   There is no expectation or requirement that it will ever be repaid, in
   money or in any other form.

3. I will have no interest, share or rights in the property, now or in the
   future, and I will not live in the property. [Delete or amend the
   "will not live in the property" line if it does not apply, and tell the
   lender: it can affect their requirements.]

4. My relationship to the buyer(s) is: [e.g. parent / grandparent].

5. The gift comes from my own funds, held at [bank/building society name],
   and I can provide statements showing the source of these funds for
   anti-money-laundering checks.

6. Making this gift does not leave me unable to meet my own debts and
   financial commitments, and I am not bankrupt, subject to insolvency
   proceedings, or aware of any claims against me.

Signed: ______________________

Full name: [Donor's full name]

Date: [DD/MM/YYYY]

Witness (if required by the lender or solicitor):

Signed: ______________________
Full name: ______________________
Address: ______________________
Date: [DD/MM/YYYY]

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NOTES (do not send this section with the letter)

- Lender's own form first. Many lenders insist on their own template or a
  specific wording. Ask the broker or solicitor before using any generic
  letter.
- Each donor signs. If the gift comes from a couple, most lenders want the
  declaration from both, or one letter each.
- Evidence follows the letter. The solicitor will usually also ask the donor
  for photo ID, proof of address, and bank statements showing the money
  (anti-money-laundering rules).
- Gift vs loan matters. A loan, even informal, must be declared and can
  reduce how much you can borrow. Never describe a loan as a gift.
- Tax: large gifts can have inheritance-tax implications for the donor's
  estate (the seven-year rule). That is a tax question, not a mortgage one:
  see GOV.UK on inheritance tax or speak to a tax adviser.
- This template is general information, not legal advice. Have the solicitor
  confirm the final wording.

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This is information, not advice. We introduce you to a regulated mortgage
broker who can advise you.