Temporarily moving savings to parents bank account
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It's Santander :eek:0
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Why so much in cash? It's not banks going bust you should worry about, but erosion through inflation, and the danger of further devaluation of the pound0
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What if I pay in two instalments? e.g. 10k & 8k
Would this actually be considered money laundering?
The comment that it might "flag up" does not mean you are a criminal, it is to do with the fact that banks have monitoring systems to help identify unusual or suspicious transactions and a large receipt from a third party (especially e.g. where your parents don't normally get large receipts ; and which is then sent back out again a few weeks later) would be expected to "look funny" if it is something other than a small sum.
Also if the bank or other money-handling organisation has a monitoring threshold such as £10,000 to help them filter off and report the riskier transactions, you can imagine that they also have a system that flags if they receive a bunch of transactions at £9999 from the same source in quick succession.
This does not mean the bank or law enforcement agencies will take any action or make any enquiries. People put money in accounts all the time. It just means there's something for them to potentially ask questions about.I currently have over 85k in my bank account, and therefore want to move 17k to my parents bank account (which pays no interest) while I set up a new savings account.
Are there any legal ramifications of doing this?
So, each of you should sign a letter to say it's a loan.
Whether or not you have paperwork, their bank is not duty bound to recognise any separate trust agreement between your parents and you, and the account terms will usually say that it is a personal account of your parents alone, prohibited from being used as a nominee account for someone else's funds. So the "legal" structure is that it is their money, any interest or fees relating to it belong to them, and then separately they owe you a debt.
And if they (like you) are overseas resident, the periodic balance or interest amounts in their account for the reporting period will get reported to HMRC as belonging to them and shared internationally with their relevant foreign tax authority, just as already happens with your £85k account (unless you are in one of the various countries that doesn't want to share financial account data with the UK, though the number is dwindling).
One obvious point not related to your question is why your parents account doesn't pay them any interest when it's got over £17k in it. The MoneySavingExpert thing to do is for them to use accounts that pay more than 0% interest on the cash the bank holds. Granted, £17k for a couple of weeks would not produce much interest but if they're not getting interest on the rest of their own money they are missing an opportunity.0 -
Just sold my property. But have no plan on buying another while I live abroad (which may be forever).0
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You will still be covered by FSCS for a limited time following house sale, 6m I think. No need to panic!
Google temporary high balance fscs0 -
Voyager2002 wrote: »So you should be looking at stocks and shares, bonds, other kinds of investments...
But I have no interest in any investment involving risks.0 -
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Keep_pedalling wrote: »But you are perfectly happy to risk a large loss to currency market shifts?0
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