Law on buying cars with cash
Discussion
AlexiusG55 said:
If that's the religion I think you're talking about, they have their own banks that do various things to provide the services they want while getting around their prohibition on lending money with interest-<snip>
.
same as their mortgages, you don't pay 'interest' on the sum lent , you pay 'rent' on the portion still owned by the bank ... .
Many moons ago, SWMBO was the Finance Manager of a local firm of stone masons who specialised in marble. One day a customer came in to pay for the mausoleum he'd purchased to house his late brother's remains. The Keffiyeh-wearing gentleman was accompanied by his chauffeur who deposited two large suitcases on the reception desk. When opened they contained around a quarter of a million pounds in UK banknotes.
A call was made to the police ... but only to arrange an escort to the bank to pay it in.
Streaky
A call was made to the police ... but only to arrange an escort to the bank to pay it in.
Streaky
I purchased my M5 for £13k in cash as I don't have a debit card and my credit card limit is a grand. The dealer was not too happy about it though as I recall.
I own a taxi company where every penny I earn is cash. I have no need for a high limit credit card and have no desire to get or use a debit card.
For me cash is king and always will be.
I own a taxi company where every penny I earn is cash. I have no need for a high limit credit card and have no desire to get or use a debit card.
For me cash is king and always will be.
M5 Russ said:
I purchased my M5 for £13k in cash as I don't have a debit card and my credit card limit is a grand. The dealer was not too happy about it though as I recall.
I own a taxi company where every penny I earn is cash. I have no need for a high limit credit card and have no desire to get or use a debit card.
For me cash is king and always will be.
Was you ever contacted and questioned by the hmrcI own a taxi company where every penny I earn is cash. I have no need for a high limit credit card and have no desire to get or use a debit card.
For me cash is king and always will be.
Gallen said:
Jasandjules said:
You are mistaken.
The dealer should report it to HMRC (IIRC) so there is a log of it. Basically, your mate might be asked to explain where he got the cash from - which is usually a simple case of providing the bank withdrawal....
...OK The dealer should report it to HMRC (IIRC) so there is a log of it. Basically, your mate might be asked to explain where he got the cash from - which is usually a simple case of providing the bank withdrawal....
so you have a decent paid job. You withdraw money here and there. Not major amounts - but you dont spend it all. You buy a few things with it - maybe a motorbike, a few boys toys etc. You sell them and have a large amount of cash. This isn't an unreasonable situation. However, if asked, you couldnt prove exactly how you have the money as you never took out large amounts (..why the f
k should you have to PROVE this? - You pay tax, are hard working and lucky enough to have a good job and a regular wage). Over the years youve bought a few things, kept them then decided to sell them all to buy one nice car.Not really a strange position to be in is it really??? (I dont think it is anyway)
You should have to PROVE this because of money launderers...do you suggest they should just be allowed to so it because it might inconvenience someone innocent that will almost certainly be able to provide a trail of proof?
NobleGuy said:
I don't know anyone that's ever been in that position. What are the chances of you selling all your toys at the same time? Personally I think it's more likely that you'd bank the cash as soon as and not have it piling up on the kitchen table... So, fairly strange I reckon.
Yes you do - Me! Just recently in fact.I have just sold my Audi Cabriolet and my classic Rover V8, not to mention a pair of "new old stock" rear wings for the latter. I was selling stuff off all in one go to pay a few bills as my OH is on maternity leave so we are on a reduced wage. Then, with the remaining dosh I bought a Seadoo Jetski (which is now safely locked away in storage).
If I was asked how could I show where this money came from??? I'm not sure I could without going back over YEARS of old bank statements. £100 here, £300 there etc. The only time money goes in to my account is when I am paid. Once its withdrawn, it never goes back in. I hate banks with a passion.
NobleGuy said:
do you suggest they should just be allowed to so it because it might inconvenience someone innocent that will almost certainly be able to provide a trail of proof?
...if the someone innocent (who has a decent job, and only has a bank account to get his wages and mortgage paid) then finds him self in a position that his money gets taken away then no, its not right. On the other hand, if you're signing on and have 10k cash on you then there is likely to be a problem somewhere. Seems to me like there is a big grey area in between.I remember a while ago on that Traffic Police program, some guy was stopped and searched. They found cash on him and he said he was on his way to buy a car. They confiscated it and I'm not sure what happened to him (or the money) but I bet a lot of PH'ers and car enthusiasts have risked finding themselves in that position.
G.
Edited by Gallen on Friday 6th May 12:43
Gallen said:
NobleGuy said:
I don't know anyone that's ever been in that position. What are the chances of you selling all your toys at the same time? Personally I think it's more likely that you'd bank the cash as soon as and not have it piling up on the kitchen table... So, fairly strange I reckon.
Yes you do - Me. Just recently in fact. Just sold my Audi Cabriolet and my Rover V8, plus a pair of new old stock rear wings for the latter. I was selling stuff off to pay a few bills as my OH is on maternity leave so we are on a reduced wage. Then, with the remaining dosh I bought a Seadoo Jetski (which is now safely locked away in storage). If I was asked how could I show where this money came from??? I'm not sure I could without going back over YEARS of old bank statements. £100 here, £300 there etc. However, the only time money goes in to my account is when I am paid. Once its withdrawn, it never goes back in. I hate banks with a passion.Even so, presumably you had V5 documents for the cars to provide a trail of evidence...?
Gallen said:
NobleGuy said:
do you suggest they should just be allowed to so it because it might inconvenience someone innocent that will almost certainly be able to provide a trail of proof?
...and if the someone innocent - who has a decent job, and only has a bank account to get his wages and mortgage paid - finds him self in a position that his money gets taken away then no, its not right.On the other hand, if you're signing on and have 10k cash on you then there is likely to be a problem somewhere.
swerni said:
I paid it in to my account later that week and they didn't even question where it had come from.
That's exactly what should happen - the bank is supposed to proceed as normal and then report the transaction. I would imagine that the reporting much be a fairly routine, maybe even automatically triggered, process to a bank.Deva Link said:
That's exactly what should happen - the bank is supposed to proceed as normal and then report the transaction. I would imagine that the reporting much be a fairly routine, maybe even automatically triggered, process to a bank.
Correct, it will automatically do what it needs to do in its Business Process that runs. 99% of banks now user BPM (business process management) and I will automatically do this, or trigger on the database will be set off when a insert value of X is breached (which will then start an auditable process).Gallen said:
...OK
so you have a decent paid job. You withdraw money here and there. Not major amounts - but you dont spend it all. You buy a few things with it - maybe a motorbike, a few boys toys etc. You sell them and have a large amount of cash. This isn't an unreasonable situation. However, if asked, you couldnt prove exactly how you have the money as you never took out large amounts (..why the fk should you have to PROVE this? - You pay tax, are hard working and lucky enough to have a good job and a regular wage). Over the years youve bought a few things, kept them then decided to sell them all to buy one nice car.
Not really a strange position to be in is it really??? (I dont think it is anyway)
You used to have 'a motorbike, a few boys toys etc.'so you have a decent paid job. You withdraw money here and there. Not major amounts - but you dont spend it all. You buy a few things with it - maybe a motorbike, a few boys toys etc. You sell them and have a large amount of cash. This isn't an unreasonable situation. However, if asked, you couldnt prove exactly how you have the money as you never took out large amounts (..why the f
k should you have to PROVE this? - You pay tax, are hard working and lucky enough to have a good job and a regular wage). Over the years youve bought a few things, kept them then decided to sell them all to buy one nice car.Not really a strange position to be in is it really??? (I dont think it is anyway)
You now no longer have 'a motorbike, a few boys toys etc' and instead have a large wad of cash.
It doesn't take a forensic accountant to work out what has happened.
Gallen said:
I remember a while ago on that Traffic Police program, some guy was stopped and searched. They found cash on him and he said he was on his way to buy a car. They confiscated it and I'm not sure what happened to him (or the money) but I bet a lot of PH'ers and car enthusiasts have risked finding themselves in that position.
G.
He was given the money back. That whole thing was well dodgy - an uninsured "hire" car? And the guy didn't seem in the slightest bothered by what was going on.G.
I work at a main dealer and we also have a £9k limit for cash. what i dont understand is;
a) if you deal in cash all the time does that mean you pay ALL your bills in cash and in person?
b) if you had to withdraw it, why not just use a debit card at the dealer?
c) bank transfers are easy and pain free, done a day or two before you pick up the car?
Cash is still king for most people though isn't it?
A few of my friends are builders, plumbers, kitchen fitters, own garages etc, and they are rolling in cash.
£3k holiday? Pay in cash at the travel agents.
£15k car for the wife? Buy a used one privately in cash.
£1500 TV for the living room? Pay in cash at Comet.
To be honest I feel like a complete mug giving away 20% or more of every penny I earn to HRMC.
A few of my friends are builders, plumbers, kitchen fitters, own garages etc, and they are rolling in cash.
£3k holiday? Pay in cash at the travel agents.
£15k car for the wife? Buy a used one privately in cash.
£1500 TV for the living room? Pay in cash at Comet.
To be honest I feel like a complete mug giving away 20% or more of every penny I earn to HRMC.
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