Exchange, completion, CHAPs payments

japmis

So I'm almost ready to exchange, just waiting for the tenant to vacate :T

Today I received a letter from my solicitor requesting the funds to be transferred via CHAPs (deposit, his fee and stamp duty).

I thought I paid this on completion? Do I have to pay it now?

G_M

How long between Exchange and Completion?

If a short time, he'll want i the 10% deposit now.

Note, this means the deposit that gets paid to the seller at Exchange. It is 10% of the purchase price.

NOT to be confused with the 'deposit' you have agreed with yourmortgage lender. This is the amount of cash/savings you are putting into the purchase (purchase price less mortgage), which may be 5%, 10%, 20% or any other %!

If longer, you'll need topay 10% now to be ready for Exchange, and the rest in advance of Completion.

But you don't have to use CHAPS.

CHAPS: cost about £30. Same day transfer if set up before (around) 2.00 pm

Faster Payments: Free. Same day transfer (2 hours?). Check your bank can send ANF solicitor's bank can receive.

Solicitor's bank details will be differemt for CHAPS Vs Faster Payments, so get this right.

Cheque: Free. Takes 3 - 10 days (check!)

BACS: free. 3 working days. Same bank details as Faster Paymets.

japmis

thanks GM, there should be 2 weeks max between exchange and completion, minimum 10 days.

I'm happy to pay my deposit now, but I need to wait for pay day May 31st to pay for his fees and stamp duty :-/

G_M

You should be able to pay the deposit now and the rest in advance of Completion, but ring and ask!

japmis

thanks GM, much appreciated

Jeffrey_Shaw

G_M wrote: »

You should be able to pay the deposit now and the rest in advance of Completion, but ring and ask!

Yes- but the solicitor will not complete unless all funds are in.

Thrugelmir

Jeffrey_Shaw wrote: »

Yes- but the solicitor will not complete unless all funds are in.

May not be prepared to exchange either.

martindow

Faster payments have a maximum sum which you need to check with your bank. Be very careful putting account details in if you pay this way - you do not want your money ending up in someone else's account or a banking limbo. Chaps payments I think are unlimited (providing you have the funds!).

browntownfm

I work for a company in Prague and I live in the UK. I get paid by CHAPS every month and the bank I'm with (Halifax) charges me £7 every month to receive my pay!

Anybody know any accounts that won't charge/will charge less?

Cheers