What should I do if my bank refuses to accept a large deposit made by a friend from abroad due to 'suspicious activity'?

I can totally understand how frustrating this situation must be for you, especially since you're sure the money is legitimate and you know your friend personally. The bank's 'suspicious activity' policy is in place to prevent money laundering, but it can be a real hassle when it affects innocent people.

First, I'd recommend asking the bank to provide you with a clear explanation of what specific documentation they need from you to verify the source of the funds. They might request information about your friend, such as their address, employment details, or even a copy of their passport. Be persistent and try to get them to give you a specific list of requirements.

Next, I'd suggest talking to your friend and asking them to provide some documentation that proves they're sending you the money for a legitimate reason. This could be a letter explaining the gift and why they're sending it, or even a copy of their bank statement showing the funds being transferred. Sometimes, having the right paperwork can make all the difference in getting the bank to accept the deposit.

As for avoiding this situation in the future, it might be worth talking to your bank about setting up a system for receiving regular, large deposits from abroad. Some banks offer special services for international transactions, which can make it easier to verify the source of funds and avoid these kinds of issues. It's worth asking about their procedures and seeing if they can offer any solutions to make things smoother for you and your friends in the future.