Any conveyancers out there?
Discussion
I wonder if someone can help? We are buying a new house (selling our current residence). It is still early days but we have engaged a solicitor and the process is underway. However, an issue has already emerged and I am not sure that the instruction i have been given is strictly correct - hence my appeal.
We have passed the first hurdle of identity check but now have run into the minefield of "anti-money-laundering" regulations. This means proving that I have the wherewithal to complete the transaction by showing money in the bank and somehow verifying its source. However, i have also been told that I will need to have the money needed to complete available and in liquid form at the time of exchange. Now this is not the most ideal time to be taking money out of the stock market and I had thought that just proving the money in a (UK) investment account would be sufficient particularly as the money is not going to be needed for another three months - target completion in June. I have protested but have been told that he (the solicitor) will not allow exchange unless i comply. Various "rules" have been quoted - but is this correct? Help and advice please.
We have passed the first hurdle of identity check but now have run into the minefield of "anti-money-laundering" regulations. This means proving that I have the wherewithal to complete the transaction by showing money in the bank and somehow verifying its source. However, i have also been told that I will need to have the money needed to complete available and in liquid form at the time of exchange. Now this is not the most ideal time to be taking money out of the stock market and I had thought that just proving the money in a (UK) investment account would be sufficient particularly as the money is not going to be needed for another three months - target completion in June. I have protested but have been told that he (the solicitor) will not allow exchange unless i comply. Various "rules" have been quoted - but is this correct? Help and advice please.
Beggarall said:
I wonder if someone can help? We are buying a new house (selling our current residence). It is still early days but we have engaged a solicitor and the process is underway. However, an issue has already emerged and I am not sure that the instruction i have been given is strictly correct - hence my appeal.
We have passed the first hurdle of identity check but now have run into the minefield of "anti-money-laundering" regulations. This means proving that I have the wherewithal to complete the transaction by showing money in the bank and somehow verifying its source. However, i have also been told that I will need to have the money needed to complete available and in liquid form at the time of exchange. Now this is not the most ideal time to be taking money out of the stock market and I had thought that just proving the money in a (UK) investment account would be sufficient particularly as the money is not going to be needed for another three months - target completion in June. I have protested but have been told that he (the solicitor) will not allow exchange unless i comply. Various "rules" have been quoted - but is this correct? Help and advice please.
It's correct.....We have passed the first hurdle of identity check but now have run into the minefield of "anti-money-laundering" regulations. This means proving that I have the wherewithal to complete the transaction by showing money in the bank and somehow verifying its source. However, i have also been told that I will need to have the money needed to complete available and in liquid form at the time of exchange. Now this is not the most ideal time to be taking money out of the stock market and I had thought that just proving the money in a (UK) investment account would be sufficient particularly as the money is not going to be needed for another three months - target completion in June. I have protested but have been told that he (the solicitor) will not allow exchange unless i comply. Various "rules" have been quoted - but is this correct? Help and advice please.
Thank you Sarnie. Can you please amplify - do I simply have to show the money is available (as cash) or do I have to transfer it to some sort of escrow account? If the latter, do I receive interest (at 0.2% or whatever). Three months is a long time to have a large some of cash doing nothing. What are the "rules" governing this? I would like to understand this a bit better - it is a very long time since we last did this and previously the money all came from a mortgage (building society) - but that is not the case now.
Beggarall said:
Thank you Sarnie. Can you please amplify - do I simply have to show the money is available (as cash) or do I have to transfer it to some sort of escrow account? If the latter, do I receive interest (at 0.2% or whatever). Three months is a long time to have a large some of cash doing nothing. What are the "rules" governing this? I would like to understand this a bit better - it is a very long time since we last did this and previously the money all came from a mortgage (building society) - but that is not the case now.
I'm not a Conveyancer but for mortgage purposes, to satisfy AML regulations you need to show the funds as available in a UK account in your personal name. Solicitors will need the same........and if there are any lumpy credits to the account they will need to know the source.You don't need to send the funds now, only when you exchange contracts but most solicitors would usually just ask for 10% on exchange and the balance about a week before completion date....
Simpo Two said:
Seems you've been caught out by a rule (gotta love the EU) that was never intended to do this.
How about buying with a mortgage, then, if you wish, paying it off when markets recover?
Interesting idea - but I am probably too old to get a mortgage. What are the criteria to lend and repayment plans. A short term mortgage with current low interest rates could be very attractive. How would I find out? How about buying with a mortgage, then, if you wish, paying it off when markets recover?
Gassing Station | Finance | Top of Page | What's New | My Stuff