Can you claim interest from solicitor?

LostSocks · 6 April 2008 at 10:52AM

Currently purchasing a house and wondered if I could claim interest back from the solicitors from when they held money on my behalf.

I gave them £14500 deposit money and it was 10 days before we exchanged, so I lost out on some interest I could have received in a savings account - I know it's not much but I don't see why my solicitor should gain from it and not me.

We are completing on Monday and our mortgage was drawn down on Friday (working day before completion which is standard practice I have been told). So I now already owe £28 on a mortgage. My solicitor is also holding the rest of our deposit, which had transferred on Friday. So for 3 days, my solicitor is getting interest on £130500, so he is gaining on our money, whilst we owe money on the mortgage and it would be nice if I could claim some of the interest back to help keep the expense down. Is this possible?

Thanks

clutton_2 · 6 April 2008 at 11:10AM

there are specific Law Society rules laid down as to when a solicitor must pay interest - i have had some paid in the past - but i believe it is not available just for a few days - otherwise the whole system would grind to a halt !

LostSocks · 6 April 2008 at 11:19AM

I realise that a few days might not be justified. It just annoys me that I'm paying out £14.50 a day on interest for 3 days that I haven't even got a house.

I worked out that I have lost £22 in interest on the £14500 that they held for 10 days and £11.42 on the interest on 3 days of the rest of my deposit money. I know that £33 is not much, but at least helps to pay 2 and a bit days of interest I already owe on the mortgage and is better in my pocket and not the solicitors.

I'll see if I can find the law society rules and see what it says. Thanks

chappers · 6 April 2008 at 11:25AM

Get a life if things are that tight should you really have been buying a house, tell you what if you are that bothered perhaps we could have a whip round and get you your 33 quid.

Dr_Moe_2 · 6 April 2008 at 12:55PM

chappers wrote: »

Get a life if things are that tight should you really have been buying a house, tell you what if you are that bothered perhaps we could have a whip round and get you your 33 quid.

Take it easy, mate. This is a money saving website after all.

clutton_2 · 6 April 2008 at 1:13PM

lost socks i think you must blame the oddly irresponsible house conveyancing system that we have in the uk - in scotland - i doubt these issues would arise.

123oleary · 6 April 2008 at 4:21PM

when my dads estate was going through probate the solicitor held large sums of money. when the solicitor could distribute the estate interest was also paid.
when i bought my house the solicitor held my deposit for a few days, about a month after completion i recieved a cheque for the interest. so yes they do pay but just like a bank it is not instant.

TighterThanTwoCoatsOfPain · 6 April 2008 at 4:35PM

tbh, i dont think it hurts to mention it....

when we recently sold two houses and purchased one, there was a gap of about 2 weeks between the first sale, and the simultanious completion of the other sale/purchase..

We had the same solicitor acting for both, who asked us if we would like the proceeds from sale 1 refunding, or would we like them to hang on to it and they would pay interest.

We didnt get anything approaching "savings" interest, but it covered the cost of the CHAPs fee for the new mortgage drawdown if nothing else!

sillyvixen · 6 April 2008 at 7:11PM

a week after i moved into my house i recieved a cheque from my solicitor for about 80 pounds that was interest earned while money was held in their account. it does happen, it just arrived, i didn't have to ask for it and to be honest i had not even thought about it.