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Estate Agent charging £42 AML fee to buyer of house?

LXGB
LXGB Posts: 88 Forumite
First Anniversary Combo Breaker
in House buying, renting & selling
I'm in the process of buying a house and the estate agent has asked me to sign an Anti Money Laundering (AML) form. The small print at the bottom says I consent to AML checks, which I have no objection to. However, the bit that is causing me concern is the small print also says I agree to be charged £35 plus VAT for AML checks.

I know new AML legislation came in to force recently, but is this normal? I'm not selling a house, just buying one. I'm sure my conveyancer and mortgage company are already doing AML checks. Do I really need to pay the Estate Agent £42.00 buy a house a from them?

Any advice gratefully received!
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Comments

  • davidmcn
    davidmcn Posts: 23,596 Forumite
    Name Dropper First Anniversary First Post
    No, if the agents wish to charge such a fee they should seek it from their client.
  • PasturesNew
    PasturesNew Posts: 70,698 Forumite
    Name Dropper Photogenic First Anniversary First Post
    This is none of their concern .... agents spend the majority of their time working out how to fleece people that come through their doors...

    If the money is laundered, that's an issue for your solicitor to worry about as they'll have the responsibility of checking at their doorstep.

    I'd look along the lines of telling the agent to go swivel.
  • JoJo1978
    JoJo1978 Posts: 375 Forumite
    First Post
    The buyers solicitor can pass this to the EA if required. We were asked by the EA to provide AML docs at the point of offer, but we just asked our solicitor to forward them. As far as I know they have no basis for the EA, other than to reassure the vendor...which the buyers solicitor will pass to the sellers solicitors in due course anyway.
  • Surrey_EA
    Surrey_EA Posts: 2,042 Forumite
    First Anniversary First Post
    PasturesNew wrote: »
    This is none of their concern .... agents spend the majority of their time working out how to fleece people that come through their doors...

    If the money is laundered, that's an issue for your solicitor to worry about as they'll have the responsibility of checking at their doorstep.

    I'd look along the lines of telling the agent to go swivel.

    You may wish to tell them to go swivel, but sadly your understanding of the EAs obligations is incorrect.

    Estate Agents are required by law to carry out anti money laundering checks on anyone purchasing a property through them.

    https://www.gov.uk/government/consultations/money-laundering-regulations-2017/money-laundering-regulations-2017#estate-agent-businesses

    Charging £42 is a new one tho!
  • buggy_boy
    buggy_boy Posts: 657 Forumite
    This seems very odd, your solicitor will do any money laundering forms not the estate agent.
  • Surrey_EA
    Surrey_EA Posts: 2,042 Forumite
    First Anniversary First Post
    JoJo1978 wrote: »
    As far as I know they have no basis for the EA

    Seems like you do not know as much as you thought!
  • Surrey_EA
    Surrey_EA Posts: 2,042 Forumite
    First Anniversary First Post
    buggy_boy wrote: »
    This seems very odd, your solicitor will do any money laundering forms not the estate agent.

    They both have to.

    It is a legal requirement!!!
  • JoJo1978
    JoJo1978 Posts: 375 Forumite
    First Post
    Ha ha, yes Surrey EA, happy to be corrected! Charging seems cheeky though right...eapecially for a legal obligation, no? Still, no different to other businesses squeezing that little bit of extra cash where they can, under the guise of "admin". Wouldn't pay it myself though
  • LXGB
    LXGB Posts: 88 Forumite
    First Anniversary Combo Breaker
    Thanks for the swift replies! I'm still a bit confused, but understand it is a requirement, but charging for it is sharp practice?
  • Surrey_EA
    Surrey_EA Posts: 2,042 Forumite
    First Anniversary First Post
    JoJo1978 wrote: »
    Charging seems cheeky though right...

    Yep, agreed.

    Very cheeky!
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