moving large sum into bank accounts

JeffMason

Hi all,
I'll soon be moving a large sum of money from an investment bond into my bank account to then use as part of the purchase of a house. Is there a special way I need to do this? I think I should split it over a few bank accounts but I've never dealt with large amounts of money before and wonder if there is something I need to do, warn them it's coming etc?
 

polymaff

If this is your worry:

https://www.fscs.org.uk/how-we-work/temporary-high-balances/

Otherwise, how large is large?

JeffMason

polymaff said:

If this is your worry:

https://www.fscs.org.uk/how-we-work/temporary-high-balances/

Otherwise, how large is large?

Up to a million? Well, that's fine then. So it can be in my account and covered for up to six months? That makes it a lot easier to deal with then. Phew. 

My other worry was actually moving it, will my bank freak out and refuse the transation when a large amount is moved into my account suddenly like that? Do i need to inform them or do anything special with large amounts?

jonesMUFCforever

No they won't refuse it but may ask you to provide evidence of the origin of your investment.

penners324

Keep records of the investment bond and how you sell it....
If the bank questions it you can provide back up information.

I'd keep a bit of money in another account to cover Bill's and living expenses for a bit in case they do 'freak out' and freeze the account for awhile.

JeffMason

jonesMUFCforever said:

No they won't refuse it but may ask you to provide evidence of the origin of your investment.

Won't they be able to see it's origin, as it will come directly from there? How else do I prove it? I want to get prepped for all these problems and try and make this all happen as smoothly as possible.

JeffMason

penners324 said:

Keep records of the investment bond and how you sell it....
If the bank questions it you can provide back up information.

I'd keep a bit of money in another account to cover Bill's and living expenses for a bit in case they do 'freak out' and freeze the account for awhile.

How I sell it? I just ask the company to cash in the bonds. It's with St James's Place currently.

Good idea. This could go into a second bank account (that I've used to get switching bonuses in the past) so I don't have to worry about my every day account being frozen. Thanks.

JeffMason

Can anyone advise on my follow up questions above?

hoc

An infrequently used second account receiving a large sum is far more suspicious. If the main account has made payments to St James's that should help and would having previous received smaller payments in from them. I would either test moving a small amount first or notify my bank.

JeffMason

hoc said:

An infrequently used second account receiving a large sum is far more suspicious. If the main account has made payments to St James's that should help and would having previous received smaller payments in from them. I would either test moving a small amount first or notify my bank.

No account has made payments to them. This is a bond I inherited and was signed over to me. I've not put anything in or taken anything out at any point. 

I'll put some money into the seond account then, and move this to my my main one... 
But my concern is, they'll think it looks suspicious anyway, so I want to do whatever I need to do so they don't freak out. I've had them panic when I've moved 5k previously and this is a lot more and I've never dealt with large sums of money before so am very worried about how to mange it. 

pem

Have you explained the situation to the bank you want to transfer the money into ?
they will advise If there is any problem and advise how to proceed.
note The FSCS (financial services Compensation Scheme) only protects sums up to £85,000 per person if the bank goes belly up