Proof of deposit - sale of assets

casiodan

Hi All

We have had an offer accepted on a property and I’m just at the stage of filling in the paperwork.    

To raise £6500 of the total £10k deposit I have recently (this week) sold a big chunk of my guitar collection.   This transaction was a bank transfer from the buyer and I have a copy of the receipt from the sale.  Does anyone know if that be enough to satisfy money laundering checks? 

davidmcn

It might be. But there are no general rules, just give what you can to your solicitor (or whoever is asking) and see what they say. It would help if you have persuasive evidence that a guitar collection worth £6500 existed and that the buyer exists.

AdrianC

casiodan said:

We have had an offer accepted on a property and I’m just at the stage of filling in the paperwork.    

To raise £6500 of the total £10k deposit I have recently (this week) sold a big chunk of my guitar collection.   This transaction was a bank transfer from the buyer and I have a copy of the receipt from the sale.  Does anyone know if that be enough to satisfy money laundering checks? 

Only your solicitor can say for sure. The money laundering regs require them to satisfy themselves that the source of the funds are legit.

But, in the grand scheme of things, six and a half grand from the sale of a personal asset is mot much above small change. £65k? The entire purchase price for a £650k property...? THEN they'll start looking...

casiodan

davidmcn said:

It might be. But there are no general rules, just give what you can to your solicitor (or whoever is asking) and see what they say. It would help if you have persuasive evidence that a guitar collection worth £6500 existed and that the buyer exists.

I have original receipts for a couple of them but a couple of them go back to the 90s. The payment was made by bank transfer to the person definitely exists.   I’ll send them what I have and see what they say. 

davidmcn

casiodan said:

davidmcn said:

It might be. But there are no general rules, just give what you can to your solicitor (or whoever is asking) and see what they say. It would help if you have persuasive evidence that a guitar collection worth £6500 existed and that the buyer exists.

The payment was made by bank transfer to the person definitely exists.

But your bank statement alone isn't really evidence of who made the payment, just that money came in from another account. Ideally you'd also have a corresponding record from the sender's account showing the transfer going to your account, though I appreciate that in this example it would be difficult to produce.

onetimeatponycamp

Do you have messages from the buyer agreeing the sale?

casiodan

onetimeatponycamp said:

Do you have messages from the buyer agreeing the sale?

Not really, it’s a bloke who I’ve known years. I’ve bought stuff from him etc, I just know him though playing in bands. I rung him to ask if he was interested in them. 

I could probably get a bank statement from him if really necessary but I don’t want to do that if I don’t have to.  

I have photos and serial numbers etc of the guitars, I might just print all them out, attach the receipt, which we both signed, and cross my fingers.    It’s a real pain that you can’t just sell your stuff 😂

steampowered

Could you look at this another way - i.e. the guitars funding your living expenses; and your salary funding your deposit? 

Lots of people just provide payslips and say they got the deposit from their savings.

casiodan

steampowered said:

Could you look at this another way - i.e. the guitars funding your living expenses; and your salary funding your deposit? 

Lots of people just provide payslips and say they got the deposit from their savings.

I get what you mean but before the sale of the guitars there wasn’t anywhere near the amount required in my account.  Without the sale of the guitars I wouldn’t have had the deposit.  I understand your point though.  I’m taking everything I can today to the solicitor and I guess they’ll chase me up for anything else they require. 

gingercordial

casiodan said:

onetimeatponycamp said:

Do you have messages from the buyer agreeing the sale?

Not really, it’s a bloke who I’ve known years. I’ve bought stuff from him etc, I just know him though playing in bands. I rung him to ask if he was interested in them. 

I could probably get a bank statement from him if really necessary but I don’t want to do that if I don’t have to.  

I have photos and serial numbers etc of the guitars, I might just print all them out, attach the receipt, which we both signed, and cross my fingers.    It’s a real pain that you can’t just sell your stuff 😂

Did you have separate insurance for your guitars?  If so that would provide further evidence they existed and you owned them.  If not, as you said you've sold "part" of your collection you really should take it out for the rest - we have it via Allianz for just under £5/month as otherwise the value of the guitars would be more than our whole other contents insurance limit, and you list them out by serial number so there is a record.  It covers them for theft or damage outside the house too, if you are in a band.  No affiliation - I only found out this existed when my boss mentioned he'd claimed for his daughter's cello being damaged during orchestra practice, and it really does give me more peace of mind when I am away on holiday.

Also I feel for you selling them - not sure if you are sentimental but for me that would be like selling a child, so well done for getting over that to do what you need to do, if you felt that way too!