FTB - Stressing about paying deposit to solicitor!

macman

Your deposit is £155K and so (assuming a 10% deposit) you are buying a property worth about £1.55m?! As an FTB?
The normal required  deposit is 10% at exchange, with the balance due on completion. 

macman

Your deposit is £155K and so (assuming a 10% deposit) you are buying a property worth about £1.55m?! As an FTB?
The normal required  deposit is 10% at exchange, with the balance due on completion. 

greatcrested

The £50K daily limit appears to apply to online payments.

Or for Premier customers:"The overall daily payment limit to other people in Online Banking is £100,000 for international and CHAPS payments."

https://www.barclays.co.uk/help/payments/payment-information/online-banking-limits/

"To make payments over these limits, you’ll need to visit a branch." (or Try telephone baking for larger amounts for unlimited Chaps.)

jsj25

macman said:

Your deposit is £155K and so (assuming a 10% deposit) you are buying a property worth about £1.55m?! As an FTB?
The normal required  deposit is 10% at exchange, with the balance due on completion. 

If only! My deposit is over 50% of the property price so a little cheaper than that thankfully. (But still by far the most expensive thing I'll ever have bought )

greatcrested said:

The £50K daily limit appears to apply to online payments.

Or for Premier customers:"The overall daily payment limit to other people in Online Banking is £100,000 for international and CHAPS payments."

https://www.barclays.co.uk/help/payments/payment-information/online-banking-limits/

"To make payments over these limits, you’ll need to visit a branch." (or Try telephone baking for larger amounts for unlimited Chaps.)

Yeah - thought it a bit odd that the CHAPS limit was only referenced for Premier customers but assumed it'd be the same for Personal customers (except for the lower £50k amount). But for sure, will give them a call just to be sure. Otherwise Faster Payments it most likely will be!

AdrianC

macman said:

Your deposit is £155K and so (assuming a 10% deposit) you are buying a property worth about £1.55m?! As an FTB?
The normal required  deposit is 10% at exchange, with the balance due on completion. 

The good ol' confusion between the two meanings of "deposit"...

1. The 10% security deposit at exchange.
2. The equity that you're not borrowing, (100%-LtV) of the purchase price...

AnotherJoe

I've just paid £200k as 3 lots of £50k 1 of £49k and 1 of £1k.
I got the bank details on paper physically from the solicitor. Never ever never get them by email.
the ref number came by email 
paid £1k and called them to check they had it. 

Then paid the other £199k using those stored details.

Split over 3 days since my bank Barclays lets you pay £100k a day (depending on type of account) but max of £50k in a single transaction. One £50k got held up for 'security reasons' and released after about 18 hours. 

AnotherJoe

greatcrested said:

The £50K daily limit appears to apply to online payments.

Or for Premier customers:"The overall daily payment limit to other people in Online Banking is £100,000 for international and CHAPS payments."

https://www.barclays.co.uk/help/payments/payment-information/online-banking-limits/

"To make payments over these limits, you’ll need to visit a branch." (or Try telephone baking for larger amounts for unlimited Chaps.)

Yes their messages are inconsistent and misleading. If you try to pay more than £50k it says the daily limit is £50k but the actual daily limit,on a  Premier account, is £100k. I only found this out last week when I started paying. 

Edit; and that's just the limit for paying from online banking. You can also pay more (iirc £30k) via the app and additionally more via telephone banking, all without getting into chaps payments. I didn't try pushing my luck though as I had time. 

MobileSaver

jsj25 said:

I think my bank has a Faster Payments daily limit of £50k, so I was hoping to do 3 x £50k + 1 x £5k payments across four separate days, providing my solicitor is fine with this. Does anyone have any experience paying in this way

Yes, I've done similar before; my bank didn't have any daily limit (that I know of) but there was a £100,000 Faster Payment transactional limit so I made several £99,000 online payments one after the other. I told the recipient in advance what I would be doing and I did get a security phone call check from my bank within the hour to confirm it was all legit. Everything went fine.

jsj25 said:

Also, how early can these funds typically be transferred to solicitors? I’d be very worried about doing a CHAPS payment on completion day and would much prefer to have the money in my solicitor’s account, say, one or two weeks in advance. Is this fairly common?

I've transferred the full purchase price for a house to the solicitor a fortnight in advance before now; the insignificant loss in interest was nothing against the peace of mind knowing that nothing could go wrong with the financials once everyone was ready to Complete.

FTB_Help

jsj25 said:

davidmcn said:

Would help if you told us which bank you're with, they have different policies about limits etc. You can transfer money as early as you like. 

Cheers David - yes, should have mentioned in my OP that I'm with Barclays.
Good to know the money can be transferred early, though! Will double check with my solicitor that this is fine.

Let us know how you get along and associated costs for CHAPs and what the max you can transfer, will be transferring similar next month, im also with Barclays.

jsj25

AnotherJoe said:

I've just paid £200k as 3 lots of £50k 1 of £49k and 1 of £1k.
I got the bank details on paper physically from the solicitor. Never ever never get them by email.
the ref number came by email 
paid £1k and called them to check they had it. 

Then paid the other £199k using those stored details.

Split over 3 days since my bank Barclays lets you pay £100k a day (depending on type of account) but max of £50k in a single transaction. One £50k got held up for 'security reasons' and released after about 18 hours. 

This is bang on the answer I was looking for - thank you! Relieved to hear it was fine for you to transfer the money like that.
My solicitor has provided the bank details physically on paper in the post but will still phone the office to ask them to verify.

The 18 hour hold-up is precisely the sort of thing I'd worry about which is why I'd definitely prefer to transfer sooner rather than later. All my interest rates have been slashed anyway so it's not like I'd get much for the extra week or two they'd be sitting in my account for!

MobileSaver said:

jsj25 said:

I think my bank has a Faster Payments daily limit of £50k, so I was hoping to do 3 x £50k + 1 x £5k payments across four separate days, providing my solicitor is fine with this. Does anyone have any experience paying in this way

Yes, I've done similar before; my bank didn't have any daily limit (that I know of) but there was a £100,000 Faster Payment transactional limit so I made several £99,000 online payments one after the other. I told the recipient in advance what I would be doing and I did get a security phone call check from my bank within the hour to confirm it was all legit. Everything went fine.

jsj25 said:

Also, how early can these funds typically be transferred to solicitors? I’d be very worried about doing a CHAPS payment on completion day and would much prefer to have the money in my solicitor’s account, say, one or two weeks in advance. Is this fairly common?

I've transferred the full purchase price for a house to the solicitor a fortnight in advance before now; the insignificant loss in interest was nothing against the peace of mind knowing that nothing could go wrong with the financials once everyone was ready to Complete.

Again, super helpful and pretty much exactly the answer I was looking for! Thank you!! 

FTB_Help said:

jsj25 said:

davidmcn said:

Would help if you told us which bank you're with, they have different policies about limits etc. You can transfer money as early as you like. 

Cheers David - yes, should have mentioned in my OP that I'm with Barclays.
Good to know the money can be transferred early, though! Will double check with my solicitor that this is fine.

Let us know how you get along and associated costs for CHAPs and what the max you can transfer, will be transferring similar next month, im also with Barclays.

For sure, will update to let everyone know how things go.

One final point - I know FSCS regulations cover balances of £85k normally. Obviously to transfer my funds across I'm going to be consolidating them all in a single current account. Am I right that this would be covered under their 'Temporary High Balances' protection?