Guides / Deposits
Large Deposits on Bank-Statement Income: A Different Test from Fannie Mae's
Oct 16, 2026 · Varaxon Technologies LLC d/b/a StatementReady
This is educational, not underwriting guidance. Rules below are quoted from specific lender documents as published when checked. Always use the current guidelines for your program.
Brokers who know the agency large-deposit rule often assume it carries over to non-QM bank-statement loans. It doesn't, at least not on the income side.
- Fannie Mae's rule is about assets. A single deposit over 50% of total monthly qualifying income is a large deposit, and on a purchase it must be sourced if the funds are needed to close. [1]
- Bank-statement income rules are about whether a deposit is real, recurring business income. Published programs measure "large" against the business's own deposit history and either source the deposit or take it out of the income calculation.
A bank-statement purchase file can need both reviews: one for income and one for funds to close.
How published programs define a large income deposit
| Program document | Definition | What happens |
|---|---|---|
| Newfi Correspondent NQM matrix (eff. Jan 13, 2025) [2] | Any deposit over 50% of the average monthly sales of the business | Isolated large deposits must be sourced and confirmed as business income, or excluded. Six or more large deposits in 12 months can be considered consistent and don't necessarily need sourcing or exclusion. |
| Plaza Solutions Non-QM 1 snapshot [3] | Any deposit over 100% of the average monthly sales of the business (business statement analysis) | Inconsistent or large deposits should be sourced or excluded. On personal statements, inconsistent or large deposits that aren't justified must be backed out. |
| Silver Hill program sheet [4] | Large deposits "inconsistent or atypical with the demonstrated bank statement activity" (asset requirements) | Must be verified |
Notice the base: average monthly sales, i.e. deposits, not qualifying income after an expense factor. On a business with $40,000 in average monthly deposits, Newfi's threshold would be $20,000 and Plaza's $40,000. Under Fannie Mae's asset test for the same borrower qualifying at $10,000 a month, the threshold would be $5,000. [1][2][3]
Consistency matters as much as size
Newfi's matrix says deposits are reviewed "for consistency in size, number, and type," and that inconsistent or out-of-trend activity may need more documentation or be excluded. [2] Plaza says deposits should be reviewed for consistency and that changes in deposit patterns must be explained. [3]
A $25,000 deposit every quarter from the same client looks like income. A one-time $25,000 deposit with a vague description looks like something else until it's documented.
Worked example (illustrative numbers)
Business statements, 12 months, $480,000 in total deposits, so average monthly sales are $40,000. One deposit of $30,000 in month 7 is labeled "transfer."
- Newfi-style test: threshold is 50% × $40,000 = $20,000. The $30,000 deposit is large. It's isolated, so it must be sourced as business income or excluded. [2]
- Plaza-style test: threshold is 100% × $40,000 = $40,000. The deposit isn't "large" by definition, but it still has to pass the consistency review, and a transfer from the borrower's own account isn't business revenue anyway. [3]
- If excluded: eligible deposits fall to $450,000. At 100% ownership and a 50% expense factor, monthly income moves from $20,000 to $18,750.
Also note: once you exclude it, average monthly sales change too. Recalculate before testing the next deposit.
What to collect when sourcing an income deposit
The goal is to show the deposit is business revenue (to keep it) or to identify it as non-income (to exclude it). Useful documents:
- an invoice, contract or remittance showing the customer and the work
- a payment-processor report for processor deposits (Plaza says deposits from payment apps such as Square and Venmo are eligible [3])
- statements for the other account, if it's a transfer
- a borrower LOE tying it together (see article 09)
Common mistakes
- Using the Fannie Mae 50%-of-income test on income deposits. It's the wrong base.
- Leaving own-account transfers in eligible deposits. Non-business transfers are listed as unacceptable deposits on the Silver Hill sheet. [4]
- Not re-running the threshold after exclusions.
- Forgetting the asset review on a purchase: the same deposit may also need sourcing under the program's funds-to-close rules.
Sources (checked 2026-10-15)
Lender rules as published on the sources_verified date; check the current guide before relying on them.
- Fannie Mae Selling Guide, B3-4.2-02, Depository Accounts ("Evaluating Large Deposits"): https://selling-guide.fanniemae.com/sel/b3-4.2-02/depository-accounts
- Newfi Correspondent, Delegated Plus NQM Product Matrix, effective January 13, 2025 (PDF): https://newficorrespondent.com/wp-content/uploads/2025/01/Correspondent-Delgated-Plus-NQM-Product-Matrix.pdf
- Plaza Home Mortgage, Solutions Non-QM 1 Product Snapshot (PDF, © 2025): https://www.plazahomemortgage.com/DownloadFile.aspx?FileName=Solutions+Non-QM+1+Product+Snapshot.pdf&FilePath=%5CDocuments%5CPlazaPrograms%5CSolutions+Non-QM+1+Product+Snapshot.pdf
- Bank Statement product sheet (© 2025 Silver Hill Capital), hosted at https://www.lakeviewcorrespondent.com/wp-content/uploads/2025/07/Bank-Statement-.pdf
Sources 2–4 are correspondent or product documents. Wholesale (broker) guidelines from the same companies may differ.
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