Advance payment advice for building works

bobby22

Hi
I wanted to know if this is common practice.
I have had a quote from a builder. I have had several meetings with him and he knows I have a budget to work to. He seems competent and is registered at company's house and I found him via which trusted traders.
I am awaiting planning permission and ready to start when I get that.
He has asked me for a 10% holding deposit that will secure the time slot for the work as he is busy. he says it will be paid into his clients account and not be used until the work begins. he also hates that the money can be returned if I change my mind but there may be a fee charged if time scales are close t the start date. He then says its so that he does not let customers down. Having never done extensive work before I would like some advice.
Thanks in advance

Risteard

He is right. Why should he guarantee the spot without a financial commitment from you?

bobby22

Thanks for your quick reply.

comeandgo

Being a ltd company gives him security not you.

Furts

You are wrong going about matters like this. What if Planning Permission is not granted? What if all the usual conditions apply? What about time limits for processing Buildings Regulations, build over agreements, Party Wall Act or anything else from Highways to Tree Preservation Orders?

Unless you have all this in hand, and you may have and simply not told us, then you are a long way from engaging a builder.

Have you detailed drawings and a Specification? Always good to ask just in case the answer is no.

bobby22

Yes I do have all the relevant drawings and specifications. The planning is for a deck which could be done at a later stage it is a small area of the work.

parking_question_chap

Suggest you pay by BACS and get a written contract stating the conditions under which it would be to be repayed in full or retained.

Big projects should really have the payment plans in writing anyway.