How far back are source of funds traced with a bank loan?

USCIS will go back far to investigate your source of funds! Please consult with an attorney to make sure you are prepared.

It is advisable to prove the lawful source of the funds you used to purchase the property. The year 2016 is not too far back to be able to collect documents to prove the lawful source of funds.

There is no set time limit for tracking funds. On average, you must demonstrate at least 5 years worth of tax returns and other financial documents depending on the source of funds. You must certainly be able to demonstrate a lawful source of funds for the original purchase of the building. If primary evidence is not available, you may include sworn declarations supported by secondary evidence.

In order to show a lawful source of funds, given the fact that the building you acquired is the basis upon which you secured a loan from your bank, it would be necessary to show the source of funds of at least up to $500,000 with the respect to the funds used to acquire the building.

If the building was purchased recently in 2016, you certainly have to show where you got the funds to purchase this building. There used to be an unwritten 7-year rule but now we are seeing requests where the property was purchased over 20 prior.

We include purchase documents in similar scenarios.

Yes, you must show how you purchased the building. If you make significant income each year and the purchase of the building could have been made with just a few years of your income, you do not have to go back that far. However, many people must save for 10 years or more to purchase a building worth much more than the investment amount. Thus, it will depend on your income source, including but not limited to salary, bonuses, investment increases, etc. It is normal to go back at least through 5-7 years of tax returns or financial statements when preparing the source of fund documents.

If the investment is sourced by a bank loan, the bank will not be required to prove a lawful source. However, the loan must be secured by the asset(s) owned by the investor and the investor will have to prove that the asset(s) were lawfully sourced.

Yes, you need to provide evidence that shows how you initially acquired this building.

You are required to provide as much information as possible. In the case of a real estate transaction, you should produce the title, closing documents that show when you bought the property and when you sold itthis will reveal where you got money to buy the property and how much you earned when you sold it. The essence of this documentation is to prove that your EB-5 investment fund is from a legal source.

That should be fine but, since the purchase was so recent, they may request copies of your income tax and/or salary to show how you were able to purchase the building.