The lender says they’re worried about borrowers being overstretched. Turns out, some people rely so heavily on Mum and Dad’s cash that they can’t actually afford the mortgage on their own. Shocker, right?
They’re trying to stop you from buying a house you can’t really afford. It’s like your friend who says, “No, you can’t have another shot of tequila—you’ll regret it tomorrow.” Except the hangover here is a repossession.
Nationwide’s bosses are basically playing the role of the strict parent in this story. They’re saying, “Sorry, kids, you need to prove you have the cash, not just your lovely parents.”
What Does This Mean for You?
If you were planning on a deposit gift from your mum, you might need a new plan. That £20,000 your dad saved by hoarding Tupperware lids? Yeah, it’s not helping you get a mortgage from this lender.
But don’t panic—this only applies to gifted deposits from family. If you’ve saved the money yourself, or if your parents are willing to act as a guarantor on the loan, you’re still in the game. It’s not a total ban, just a “stop trying to cheat the system” ban.
The Bank of Mum & Dad | Arrow Insights | Ep 12 | Arrow Private Wealth
And hey, other lenders are still cool with the Bank of Mum and Dad. Most high street banks love a good parental contribution. So you can always shop around.
