Where is the money coming from?

Freepost

Hi,


I have contacted my bank to enquire how I could pay off a slice of my mortgage, in this instance £10K. The bank gave me all the details and then asked where is the money coming from, I told them that I had received an email from a Nigerian prince who has promised me the money by Friday .................... why are they asking these questions, I don't think this is any of their business!

di-di-di-dah-di-dah

As part of anti-money laundering.

edinburgher

As the poster above has stated, this sounds like a perfectly standard part of attempts to prevent money laundering.

You'll also get these sorts of questions when trying to move large amounts into savings etc.

Also, have you remortgaged recently? If you find this level of question to be invasive, the level of detail required to demonstrate affordability and financial stability for a mortgage will come as something of a shock! :eek:

Freepost

edinburgher wrote: »

As the poster above has stated, this sounds like a perfectly standard part of attempts to prevent money laundering.

You'll also get these sorts of questions when trying to move large amounts into savings etc.

Also, have you remortgaged recently? If you find this level of question to be invasive, the level of detail required to demonstrate affordability and financial stability for a mortgage will come as something of a shock! :eek:

Hi, Thanks for your reponse, I though that would be the reason but £10k is not really a large amount when compared with the astronomical amounts of money getting into the country from Russia with no question asked! I know that's about to change but nevertheless.



The problem with my bank was that I asked them how much I owed to settle the mortgage and they wrote to me with the details and how to pay, unfortunately I was little short in founds, so I phoned them and asked since I can't pay all of it can I use the detail they provided to pay £10K off then they hit me with the Spanish Inquisition which I wasn't expecting and as we all know "nobody expects the Spanish Inquisition!"


I've nothing to hide but I dislike these types of intrusions, I'll drip feed my money in over the next months.


Thanks for your help.


F.

bexster1975

I agree with you Freepost. If you save your money, why should you be questioned as to where it comes from.

It's very clear money laundering " checks" are not clamping down on Ill-gotten gains. I also find this type if questioning invasive, and starts with the assumption that your activities are less than pure.

If you can earn more than your interest rate on your mortgage, put the money there instead. If not, paying it off at £1000 a month will see you done by February with the OP.

Bexster

edinburgher

bexster1975 wrote: »

If not, paying it off at £1000 a month will see you done by February with the OP.

Each to their own. I don't mind the odd "intrusive" question that doesn't really tell a financial institution anything and lets me achieve my goals quickly. I couldn't be arsed waiting months to finish OPing just to avoid one question on principle.

kev2009

I've also been asked this question, not to do with Mortgages but when I had a Cash ISA. I went to Bank A and withdrew £3000 in cash (Had to make arrangements back then for this amount) and then I walked it literally across the road to Bank B and went to pay it in after saying can I pay in £3000 into this account and handed over the cash only for the lady to say "Where did you get the money from?" I told her I took it out of Bank A and she went hmmmm but fortunately another lady overheard and said to her we are likely to get a few more of these as its coming up to the end of the tax year and people want to make use of there isa limit so she proceeded with paying in my money. Weirdly, in subsequent years at different branches I've never been asked where did you get the money from they have taken the money and paid it in,no questions asked and obviously it had been a bit more as the increased the limit from approx 3k to 5k or there about's. Sadly I no longer had a ISA as i used the funds for a deposit on a house and with the poor interest rates its not worth me opening a new ISA.

Kev