Bank wants a 3 month holding period on private funds

[Daniel Rudio]

I'm about to put a duplex under contract and In order to minimize my initial cash outlay, I am considering financing it through a combination of buyer down payment, private lender loan and a conventional mortgage through a national bank. The bank is OK with this structure but has requested that the private lender funds be "vested" in my bank account for at least 2 to 3 months prior to close. Has anyone else come across this? What is the reason the bank would require this as opposed to simply closing both the bank note and private lender note at closing? Thanks, Dan