AML checks by estate agents

Snot

I'm current selling (no onward purchase) and all the Estate Agents are quoting ~£100 for AML checks, saying it's a legal requirement.

My solicitor is charging £10. So clearly another revenue stream for the agents.

MeteredOut

Unless informed and agreed up front, there's no way I'd be paying an EA for an AML check, either as a seller, or ( even more-so) as a buyer. The stubborn side of me would very likely walk away from a sale, but I suspect the EA would likely not enforce the fee for fear of losing their comission/sale.

mills112

https://forums.moneysavingexpert.com/discussion/comment/81910740#Comment_81910740

my EA sent me the buyers' Nationwide bank statement, which had nearly 80k in it. this is personal information and he shouldn't have really sent that on to me.

so although EA have been instructed to carry out AML, they probably haven't been trained on how to store and protect the data securely.

mills112

https://forums.moneysavingexpert.com/discussion/comment/81910791#Comment_81910791

there will probably be VAT on top of that £100 so it will be £120

mills112

https://forums.moneysavingexpert.com/discussion/comment/81910922#Comment_81910922

they are all doing it now so you can't avoid it. if they don't spell it out, they probably add it into their commission.

MeteredOut

https://forums.moneysavingexpert.com/discussion/comment/81910937#Comment_81910937

How can they add it to their commission when the commission is agreed up front?

We sold a plot of land recently (this year) and we had no AML fee to pay (to the EA or to our solicitor). I'm not aware that the buyer did either.

mills112

https://forums.moneysavingexpert.com/discussion/comment/81910960#Comment_81910960

it is new laws that have come into effect this year so it may take time to be actioned by the EA. selling land may not have as much scrutiny as selling a property.

when you sell a property, the EA will agree a commission fee with you, so they will add on the AML costs in this fee. so you won't see it, but some will disclose it separately. just like solicitors.

user1977

There's no requirement to charge a fee for AML checks - other regulated entities usually absorb the costs (which are nothing like £100 a pop) as part of their overheads.

MeteredOut

https://forums.moneysavingexpert.com/discussion/comment/81911028#Comment_81911028

Enforced/increased AML checks may be new laws. Charging for them is not.

mills112

https://forums.moneysavingexpert.com/discussion/comment/81911053#Comment_81911053

i think the EA will be using this to make money, hence my original post saying that I feel they are using it as a money spinner.