We have applied for a mortgage and are in the final stages of underwriting. They have all of our bank statements, w2, taxes, etc. We have more than enough money in our savings account for the down payment and closing costs and they have the statements showing this. A week ago, my husband received a check from his father for unexpected inheritance money his grandmother left to him. We deposited the check for 9K in our main checking account. This week, the underwriter has asked for more bank statements and now wants a gift letter from my husbands father regarding the large check.
Here's where I get confused. I thought you only needed a gift letter if using the money for a down payment/cc fee's. We never planned to use this money for the down payment and can prove that through months of statements showing the funds in our savings account. Why, if we write a check for everything from our savings account, would we need a gift letter for this deposit in an entirely seperate account?
My husband and father do not get along, and I am worried about his cooperation in this matter. That is why I am asking...I would like to avoid needing to contact him regarding this matter.
Obviously, we are kicking ourselves now for depositing this check! One more hoop to jump through 
..."gift letter" is a generic term to explain abnormal/irregular deposits to your accounts during the months immediately preceding your morgage approval ...these are indeed most often "gifts" intended to aid in obtaining the mortgage ...but in the underwriter's eyes any unexpected sizable deposit has to be accounted for ...if its in your personal accounts, it matters not whether you intend to use it for the mortgage ...thats a moot point to the underwriter.
...in your situation, I'd approach DH's father with a pre-written letter that requires nothing more than his signature ...that would be the simplest solution for all ...if he simply refuses, talk to the UW to see what alternatives he will accept ...ie did your grandmother leave a will or estate that covers it ...is there a lawyer that can attest to the source, etc etc ...the amount is not such that its something that is going to cause the uw to suspect fraud, its just something that he is required to document a satisfactory explanation for ...try to see it from his view and work with him to help him do his job ...most uws are not horned creatures (though some are) ...hth
...good news ...as you've probably figured out by now, you shouldn't be doing anything in your accounts or credit that could be considered "abnormal" without first asking your LO and following his advice ...you're dealing with underwriters that cross "t"s and dot "i"s for a living ...whats perfectly normal to you can give them a heart attack ...don't do it.
Haha, yes...I will never make this mistake again 
Its not every day I get a check like that in the mail either....lol. Our first thought was get this thing to the bank. Oh well!
Not a big deal like stated. Most banks will inform you not to do anything strange with your bank accounts. It's a pretty simple process. My mother-in-law gave us 40k when we were building our home as she did with her other 2 sons. We didn't need it but it was very a sweet thing to do. She supplied the gift letter since you know that the bank asks & we decided to put it in there since it was a large amount. But it didn't make any difference in the end. All went well. I believe she got the letter form her bank. Congrats on that new home.
@Anonymous wrote:How does that work?
...it may or may not depending on the uw ...but its certainly worth a phone call to your LO who can ask the uw ...hth