Do I need to pay for a CHAPS payment to buy/sell a house?

curiosity101

Hi all,

We're instructing a solicitor to put through the sale of our house.One of the questions in the paperwork is around what type of payment they should use to transfer the sale money. Options are:
- 'I require a same day payments (CHAPS)'
- 'I require a BACs payment. I understand there is no charge and while the payment will be made by *solicitor* on the dater of completion the payments may not reach my account for up to 4 working days'

My question is, we're in a chain so this sale will be directly funding the purchase of the next house. We're not fussed about having the 'left over' money end up in our accouts same day. But we obviously do need the funds to be transferred same day to allow the whole chain to complete same day.

Do I need to pay extra or is it assumed that all money required to pay for the next house WILL go same day anyway?

It's probably worth noting again that this paper does only refer to the sale of our house. We're still waiting on our offer being accepted to start the buying paperwork.

davidmcn

curiosity101 wrote: »

Do I need to pay extra or is it assumed that all money required to pay for the next house WILL go same day anyway?

Not quite sure what you mean, but if your transaction requires a CHAPS payment then you'll need to pay the fee for a CHAPS payment. If you were only selling then it would be up to you how slowly the sale proceeds are sent to you.

curiosity101

I know we need to pay if we need a CHAPS payment.

My question is do we need a CHAPS payment. When the sale of our house goes through we need to use part of that money to fund the next house. Whatever is left over will come to us. As we're in a chain the part that goes to fund the next house needs to go same day, but we're in no rush to get the extra left over money sent over and could wait up to 4 days.

I think I'm just going to have to call the solicitors to get them to clarify whether the CHAPS payment is required to allow the sale to go through same day, or if it only refers to the left over money that will be being transferred to our bank account.

davidmcn

curiosity101 wrote: »

the part that goes to fund the next house needs to go same day

So that needs a CHAPS payment from your solicitors to the sellers' solicitors.

but we're in no rush to get the extra left over money sent over and could wait up to 4 days.

and that doesn't.