No ££££ after selling my flat

kate86spar

googler wrote: »

The 12th is a week away. That's a ludicrous delay, considering only yesterday and today were the public holidays.....

Your sol should have told you in advance if it was likely to take this long. Did you have any discussion with him in advance as to what the timescale would be?

What's the £20 charge supposed to be for?

This was my e-mai lfrom sol explaining CHAPS or BACS payments are not used for settlements as they tend to delay things. CHAPS payments can take all day. BACS payments take 4 days.

I aslo asked them why none of this was explained ...no e-mail back

So am i right in thinking they basic saying CHAPS take to long for them to process so i just have to wait???

£20 charge for getting my money in quicker, sure they should pay that?

kate86spar

googler wrote: »

Standard practice in Scotland is for keys to be released when money has changed hands between solicitors and lenders, or solicitors and solicitor - i.e. when completion has taken place.

Solicitors then apply the received funds either to a client's onward purchase, or to their bank account. So, on the face of it, looks like the money is sitting in the solicitor's client account for a week.... earning interest.

Thats what i thought, earning intrest.
Chaps payment could of been done so money would be in account for tomorrow?

WestonDave

They are talking out of their backsides! CHAPS transactions can be set up in a competent office within minutes and will be in your account at worst within hours - a £30+VAT charge is not unusual for this however. BACS takes no longer to set up but is effectively booked three days in advance so if one is set up tomorrow it should be in the account on 12th at the latest (possibly Friday if done by the cut off) and is free. In reality many transactions can be done under faster payments so could be free and instant but often these are limited in amount and some banks don't do them.

There is also no obvious reason why this transaction couldn't have been set up on the 1st so that even by BACS it would definitely be in your account this week. Sounds to me like either a factory operation where client service was the first thing to be cut to save money (hence not being able to set up the payment on Friday) or a small one man band office who are still doing things long hand with a quill pen!

Debt_Free_Chick

kate86spar wrote: »

Thats what i thought, earning intrest.

Although you may get interest too. IIRC solicitors are not allowed to retain any "accidental" interest earned from clients' money - see what others say about this.

Chaps payment could of been done so money would be in account for tomorrow?

No it couldn't. CHAPS has to be instructed by 10am for same day payment and the money from the buyer won't have been received by then. Indeed, the buyer's solicitor probably only CHAP'd the payment on Friday i.e. CHAPS instruction before 10am on Friday.

I can see you're not pleased with this and it may be that this is the first time you've sold, but this is all pretty standard stuff. Sorry!

WestonDave

Chaps payment can be instructed any time up to close of banking (3:30pm) - however if the solicitor is still stuck in the dark ages faxing instructions to the bank rather than inputting them via the internet, then its possible some banks might insist on them being in the bank earlier for them to input manually.

kate86spar

Debt_Free_Chick wrote: »

Although you may get interest too. IIRC solicitors are not allowed to retain any "accidental" interest earned from clients' money - see what others say about this.



No it couldn't. CHAPS has to be instructed by 10am for same day payment and the money from the buyer won't have been received by then. Indeed, the buyer's solicitor probably only CHAP'd the payment on Friday i.e. CHAPS instruction before 10am on Friday.

I can see you're not pleased with this and it may be that this is the first time you've sold, but this is all pretty standard stuff. Sorry!

AccountOptions>This
This is part of the e-mail sent, now im sure it should not take this long, baring in mind the first option on receiving my cheque on the fri 8th i then have to wait 5 day to clear they said so that would be 15th
AsourAs per our telephone conversations, the net freeprceeds will either be sent out to you by cheque on Friday the 8thJune 2012or straight into you bank account on Tuesday the 12th June2012 which will incur a charge of twenty pound.

kate86spar

So can i call tomorrow and say i would like a CHAPS payment...is there any reason for them to say no and would that mean money in my account for 6th or 7th june????

WestonDave

Kate - they appear to be implying that for some reason they cannot release funds in any shape until Friday (they seem to be willing to write a cheque or set up a BACS payment on Friday which will hit your account on the 12th). The fundamental question in this is why they are insisting on holding onto YOUR money until Friday when it should have been cleared funds on the 1st in order for them to complete. Something smells here! Its not even as if its worth holding onto for the interest - typical solicitors clients accounts are earning 0.2% per annum so for a week its not worth risking a complaint over!

kate86spar

WestonDave wrote: »

Kate - they appear to be implying that for some reason they cannot release funds in any shape until Friday (they seem to be willing to write a cheque or set up a BACS payment on Friday which will hit your account on the 12th). The fundamental question in this is why they are insisting on holding onto YOUR money until Friday when it should have been cleared funds on the 1st in order for them to complete. Something smells here! Its not even as if its worth holding onto for the interest - typical solicitors clients accounts are earning 0.2% per annum so for a week its not worth risking a complaint over!

Could i request a CHAPS payment for tomorrow and would it be in my account for either 6th or 7th?

furley

My sale and purchase completed nearly 2 weeks ago. No money appeared in my account (£45,000) after 5 working days. When I called the solicitor, they said they'd posted out all the papers with a cheque but this posting never arrived. It took 2 days and 2 more phone calls to get the funds into my account. I suspect they were banking interest but as I'd saved so much using the solicitors (online solicitor) I wasn't going to begrudge them a few quid. Your money will come, just keep nagging.