An Equitable Bank gift letter confirms that a customer is provided a financial gift for the purchase of a property.
You can get the Equitable Bank gift letter form from the bank's website.
Equitable Bank allows borrowers to use gifted funds for down payments on mortgages, provided certain conditions are met. A gift letter is a crucial document in this process, ensuring that the funds are a true gift and not a loan.
Understanding Equitable Bank's Gift Letter Requirements
To qualify for using gifted funds, borrowers must submit a gift letter that includes specific information. This letter must confirm that the funds are a genuine gift, not a loan, and that repayment is not expected. It should also detail the donor's relationship to the borrower and the source of the funds.
Key Components of the Gift Letter
- Amount and Date of Gift: Clearly state the exact amount and the date the gift was given.
- Donor's Information: Include the donor's full name, address, and contact details.
- Recipient's Information: Provide the borrower's full name and address.
- Relationship: Specify the relationship between the donor and the borrower.
- Statement of Non-Repayment: Affirm that the gift does not require repayment.
- Source of Funds: Indicate the origin of the gifted funds, ensuring they are from a legitimate source.
Additional Documentation
In some cases, Equitable Bank may request further documentation to verify the source of the gifted funds. This could include bank statements or other financial records from the donor. It's advisable to provide these documents promptly to avoid delays in the mortgage application process.