how much is too much?????

[junker]

does anyone know if there is a certain amount of cash you can put in a bank or get a cashiers check.. or money order without raising red flags at one time?? a friend wanted to give his daughter 8k in cash to help with her down payment on a house,and the bank was giving her problems....i guess they assume its drug money or something like that....but what amount of CASH is acceptable...i save my ss checks and cash them at walmart. so if i keep cash around and try to put a lump sum in the bank it will raise questions????

[JRScott]

I don't remember but I think it is transactions of 2k or more that are reported to regulators.

[fooked]

to my knowledge, anything over 5k is recorded in a bank log, and anything over 10k is reported to the IRS

[AMISLANDER]

does anyone know if there is a certain amount of cash you can put in a bank or get a cashiers check.. or money order without raising red flags at one time?? a friend wanted to give his daughter 8k in cash to help with her down payment on a house,and the bank was giving her problems....i guess they assume its drug money or something like that....but what amount of CASH is acceptable...i save my ss checks and cash them at walmart. so if i keep cash around and try to put a lump sum in the bank it will raise questions????

A deposit or withdrawl over $10K is subject to recording on both ends of the transaction.

[kenshirley]

Yep, if you have over $10K in your possession you had better be able to prove where you got it.
That law came into effect many years ago due to the drug war I think.

[junker]

thanks all ...apparantly,also, they want to see the money in a bank for a certain amount of time, when i called about buying a house recently the mortgage guy said how much i could put down and where was it. ie. savings checking or bonds or whatever, i told him i had uncashed checks and cash laying around, he said it needed to be in a bank for about 30 days to somehow account for it. as with my friend, the problem lies with a large amount of money appearing for a down payment with no paper trail....even though to some....8k is merely considered pocket change...

[StartingOver08]

Usually the lender wants to see it in the bank for at least 60 days (at least here) when you are applying for a mortgage.

The type of money you are referring to is called 'mattress money' in the business (slang term).

When you are going for a mortgage they definately want a papertrail - how long have you had it? Where did it come from? Those type of questions.

Most people show those type of funds as gift funds - but then you have to show the source of the gift and have a written gift letter from the donor showing that the money was not borrowed.

FHA allows gift funds. Conventional is much more strict in that regard.

[frogger]

does anyone know if there is a certain amount of cash you can put in a bank or get a cashiers check.. or money order without raising red flags at one time??

One over-riding factor that has not been mentioned. A bank can report ANY amount of money if it thinks it is suspicious.

There are laws regarding what must be reported, but they can report any amount.