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Being in a position to receive a gifted deposit can make a meaningful difference when buying a property — often accelerating timelines, widening choice, or reducing borrowing.
However, many buyers are caught out by one key detail: not all mortgage lenders accept gifted deposits from non-family members. Some restrict gifts to immediate family only, while others apply stricter checks depending on who the donor is and where the funds come from.
The good news is that options do exist. Certain lenders will consider gifted deposits from friends, extended family, or even employers — but lender choice and application structure are critical.
In this guide, we explain why some lenders restrict non-family gifts, which factors influence acceptance, and what to consider before applying.
Why some lenders don’t accept gifted deposits
Some lenders take a more cautious approach to gifted deposits because they introduce additional risk and complexity into the transaction.
Common concerns include:
- Uncertainty over whether the money is truly a gift or a hidden loan
- The risk of the donor expecting repayment or an interest in the property
- Potential disputes if the donor later claims a financial stake
- Additional source-of-funds and anti-money laundering checks
To reduce these risks, many lenders limit gifted deposits to immediate family only or apply stricter documentation requirements. This is why lender choice and clear declarations are critical when a deposit is being gifted.
How lenders assess gifted deposits
Lender criteria on gifted deposits vary, but decisions usually come down to a small number of core factors.
Before applying, lenders will typically assess:
- The type of purchase: Residential and buy to let mortgages are treated very differently. Buy to let criteria are generally stricter, with fewer lenders willing to accept non-family gifts.
- Who the gift is coming from: Immediate family is usually the simplest route. Gifts from extended family (such as uncles or aunts), friends, or employers are more likely to trigger additional scrutiny or lender restrictions.
- Where the funds are held: If the deposit originates overseas, lenders apply further checks around source of funds and transfer history. Additional rules apply to deposits coming from abroad — see our guide on deposits from abroad.
- The terms of the gift: Lenders will require confirmation that the deposit is non-repayable, that the donor will not hold an interest in the property, and that they will not live in the property once purchased. Some lenders will consider gifts from someone living in the property, not named on the mortgage,
Ultimately, acceptance isn’t about one single rule — it’s about how these factors interact. With the right lender and clear documentation, non-family gifted deposits can be workable.
Lender criteria for gifted deposits (residential mortgages)
For residential purchases, gifted deposit criteria vary significantly between lenders. While some will only accept gifts from immediate family, others are more flexible and will consider non-family donors, subject to additional checks.
Below is a clear summary of how major residential lenders typically approach gifted deposits.
| Lender | Who can gift the deposit | Notes |
|---|---|---|
| Halifax | Family only | Non-family gifts not accepted |
| NatWest | Family and friends | Source of funds and gift declaration required |
| Barclays | Parents only | Very restrictive on donor type |
| TSB | Family only | Non-family gifts not accepted |
| HSBC | Direct family only | Parents and siblings typically accepted |
| Santander | Family and non-family | Assessed case by case |
| Skipton Building Society | Direct family only | Consistency and documentation required |
What Proof Do You Need for a Gifted Deposit?
For UK-based donors, you’ll normally need:
- A Gifted Deposit Letter (confirming it’s a gift, not a loan)
- Donor bank statements
- Photo ID and proof of address
For non-UK donors, you may also need translations of bank statements and additional checks to meet anti-money laundering rules.
Why use a broker for a gifted deposit?
Gifted deposit cases often involve more moving parts — particularly where the donor isn’t immediate family or the funds are coming from overseas.
A whole-of-market broker like Strive looks beyond the headline figures and assesses the full picture from the outset. That includes affordability, source of funds, lender policy, and access to competitive rates.
These issues can easily go under the radar early on. It’s not uncommon for a mortgage offer to be secured, only for problems to arise later when solicitors carry out detailed checks on the deposit. At that stage, delays — or even collapsed transactions — can follow.
We’ll match you with lenders that are comfortable with your specific gifted deposit scenario and structure the application correctly from day one, helping you avoid wasted time, unnecessary declines, and last-minute surprises.
If you’re using a gifted deposit, speak with Strive. We specialise in complex deposit scenarios and will help you move forward with clarity and confidence.
Content updated by Jamie Elvin 13/02/2026
Frequently Asked Questions
It depends on the mortgage type.
For residential mortgages, some large lenders — including NatWest and Nationwide — may accept non-family gifted deposits. Others, such as Halifax and Barclays, typically do not.
Buy to let rules are stricter, but some lenders will consider it.
Among the larger lenders, Santander and NatWest can be options in certain scenarios. Beyond this, acceptance is more common with specialist buy to let lenders, where criteria are more flexible and assessed case by case.
Lender choice is particularly important for buy to let when the deposit isn’t coming from family.
In most cases, no. If a deposit is expected to be repaid, lenders will usually treat it as a loan rather than a gift, which can reduce affordability or lead to a decline.
There are limited exceptions. A small number of lenders may consider a repayable gift if repayment is deferred until the property is sold. In rarer cases, lenders may allow regular repayments, but this will reduce how much you can borrow.
As a rule, lenders strongly prefer gifted deposits to be non-repayable. Any expectation of repayment must be disclosed upfront.
Most lenders do not require gifted deposit funds to be transferred at the point of mortgage application. In many cases, the money can be moved later in the process, closer to exchange or completion.
That said, some lenders insist the gifted funds are transferred before the application is submitted, although this is less common. Requirements vary by lender, so it’s important to confirm this early to avoid delays or complications.
Yes. A UK-based gifted deposit is usually straightforward, with standard checks on the donor and source of funds.
If the gifted deposit is coming from overseas, lenders will apply additional scrutiny. This typically includes up to six months of the donor’s bank statements, a clear audit trail showing where the funds originated, and certified English translations if the documents are not in English.
Overseas gifted deposits are workable, but they require more preparation and the right lender.
It depends on the lender. Some lenders allow a gifted deposit from someone who will live in the property but is not named on the mortgage, while others do not.
Policies vary by lender.
Some lenders, such as Nationwide and Halifax, may allow a gifted deposit where the donor will live in the property but is not named on the mortgage, subject to conditions and declarations.
Others, including Santander and Accord, typically do not allow this and require anyone living in the property to be named on the mortgage.
Because criteria differ, confirming lender policy before applying is essential in these scenarios.
