Mortgage lenders typically allow gifts from relatives on down payments for an owner-occupied residence, but a gifted down payment typically involves extra paperwork, I often ask for bank statements from borrowers planning to use a monetary gift. "To comply with the Patriot Act and make sure it's not drug money or terrorist money, we're going to need a copy of bank statements and the wire transfer, We do need to paper trail the entire gift transaction..

When relatives (often parents) are reluctant to share bank statements with the gift recipient, I will sometimes have the gift giver transmit statements directly to me with the understanding that they won't be shared with the borrower. "Mom and Dad are happy to give a gift, they just don't want to show their bank statement. Gift money is acceptable from immediate family members.