how much cash can you pay in ??

rgvkid

hi all,
i'm with the halifax(current account and cardcash) and self-employed.
my question is how much cash can you pay in without alarm bells ringing ?? i'm self-employed and invoices are sometimes paid in cash,but mostly cheques.i'm not talking tens of thousands,but there sometimes is cash floating about in the business.
i assume the banks have some sort of limits regarding monthly pay-ins where they need to inform someone or other.
this isn't for the sake of dodging tax or anything,i just don't want to rattle any cages.
cheers

rgvkid

yep,the amount going through probably isn't anywhere near enough to qualify as laundering (i don't know any crims,but i assume youre into big bucks).
because i'm self-employed,i often pay myself in cash and the books reflect this.
cheers

Woby_Tide

the point of money laundering is generally to have lower amounts that don't raise suspicions, so even relatively 'small' amounts can flag up depending on teh activity patterns etc

rgvkid

yep,suspected as much.
having had a tax enquiry done on me before,i just didn't want to arouse suspicion or anything
i'm sure actual crims have ways and means
cheers

jonesMUFCforever

In the last month I saw a 18 year old kid wanting to open an account at the place I work.If he hadn't brought in a bank statement (from another bank)to confirm his address,showing transactions we would have probably opened an account for him. Unfortunately for him he had £7000 worth of cash credits going through with no means of confirming where the money came from as he was unemployed! A total of 56 credits using a varirty of branches - on their own they probably did not look suspicious but when looking at them in statement form it is so obvious that he was a money launderer.

deemy2004

Did you ask him how come where the incomes from if he's unemployed ?

jonesMUFCforever

Of course! He made up a !!!!!! and bull story about selling mobile phones in local markets but when asked if he could provide invoices for purchasing the phones in the first place he could not.
Eric




My post seems to have been sanitised! - a thingy is a four letter word for male appendage!

rgvkid

not surprised someone picked that one up.
i was just slightly wary (probably overly so) that alarm bells would start ringing if i had cash coming and going in my account.
in saying that,i have withdrawn over £3K in last few weeks to buy a car,so this surely isn't unusual (uinless youre doing it every week).
cheers

jonesMUFCforever

Sorry for delay in replying - new computer set up and now on Broadband.
I think in your case you have nothing to worry about. Have you considered putting your business activities on a proper footing and opening a business account(at the bank where your personal account is) Most offer free banking for at least the first year and thereafter bank charges and interest are tax deductable for future years.
Eric

student100

i was just slightly wary (probably overly so) that alarm bells would start ringing if i had cash coming and going in my account.

The whole point of a bank account is that money goes in and out every so often... ::)

If you've got nothing to hide then what does it matter if they do notice ???

dag_2

If you've got nothing to hide then what does it matter if they do notice

I'd agree with that. So it's a good idea to file all your sales invoices, and keep records of when invoices were raised, and when they were paid.

The bank might ask you where some of the deposits have come from, and they might refuse withdrawals until you have given the information. But I can't see how you can stop this happening. You can't not bank your cheques - can you?

Having lots of separate bank accounts so that the amounts stay small looks much more suspicious than lumping everything into one account.