Help pls - Will bank ask where you get deposit amount?

[wealth101]

We just bought an IP and went though a MB to borrow 80% of the new IP with bank B we were told it is unconditional approved. We now then are told that we have to provide bank statement (LOC) of Bank A to show bank B where the remaining 10% come from. is that normal?

As we are not sure why we have to show bank B our LOC statement from Bank A while the loan was unconditionally approved. We rang the bank B direct and were told that our loan was approved, nothing else is required and the paper work ready for us to sign at our local branch tomorrow.

Our question is should we back to our MB asking them why? why did the MB insist on providing the LOC from the other bank should we just go ahead to the local bank and sign it tomorrow?

Any advice will be much appreciated

Thank you in advance.

 

[Jamie M]

mmm...sounds a bit weird. I'm sure you would have been required to show where the 20% deposit was coming from in order to get the unconditional approval.

Anyways, sounds like the bank is ready to go ahead and it's just a mix up in communication. Get in touch with your broker beforehand though - just to clear up the confusion.

 

[Evachange]

Yes sounds normal, you would have to show or prove how you are going to complete the purchase.

Nothing strange at all with this, then lender needs to make sure you can complete the purchase as they don't want to go to settlement and not be able to settle.

Nothing strange about this request.