will i need to write a letter explaining $600 cash deposited in my account?

yes they will want a letter of explanation and depending on the history of these payments may not allow you to utilize them for income

Yes, it's more than likely that you will be asked to provide explanation for this deposit along with documentation to source where it came from. If you are not able to provide documentation the underwriter will likely accept just the explanation but will not count the $600 as part of your total liquid assets.

Generically speaking, any and all cash deposits have to be explained.

Yes.. all conforming loan products require that any cash deposits over $500 must be explained.. One of the common ways loan fraud was committed in the past, was borrowers with large cash deposits in their accounts would say it was a repayment for a loan they had granted in the past.. Now If you use that line, then the lender might require you to show a bank statement where you withdrew the $600, and show your daughters bank statement showing the money being deposited into her account.. in essence, a verifiable paper trail... if this cannot be provided, it's possible they would disallow any funds coming from that particular account.. Understand that most underwriters have common sense.. if your purchasing a $600K property and putting down $100K, it's unlikely a $600 deposit would create any issues... but if your purchasing a $100K property and only putting down $3500, it will definitely need to be explained, sourced, and paper trailed.. I'm a Broker here in Scottsdale AZ and I only lend in Arizona. If you or someone you know is looking for financing options, feel free to contact me or pass along my information. William J. Acres, Lender411's number ONE lender in Arizona. 480-287-5714 WilliamAcres.com

yes they will and depending on the UW, the explanation and account history they may not allow you to use it.

Are you using the bank statements to show that you have enough funds to close on a refinance or purchase? If so, you can just get a letter from your bank manager that states 1) what the current balance is 2) what the daily average balance over the last 60 days isThis should help you avoid this issue it sounds like you are facing.

Yes. You will need to try and trail the loan that you gave her. Show when you gave her the money, when it came out of your account as well as it going into her account. Then visa versa when she repaid you..going from her account and into yours. Paper trail both events.Lending Nationwide. VA, FHA, USDA, FNMA, FMAC, Reverse, Commercial, SBA, Jumbo. 877 890 3892 / john.bates@cbcnationalbank.com

Yes, a brief letter of explanantion will be required, and has been mentioned below, the $600 will not be counted towards liquid funds required for your particular transaction.....