What are proof of funds and why do I need them?
At key points in life, like buying a house or starting a business, people are responsible for providing an overview of their financial standing as well as evidence proving the origin of funds.
It's essential that accurate information is supplied to ensure smooth transactions and secure investments going forward.
As you embark on your life-altering journey of buying a home, we are here to help by ensuring that all the necessary legal requirements have been met. To ensure compliance with this obligation, verifying where your funds originated is an integral step in the process - even if it means discussing finances which no one enjoys.
Nonetheless, whether through savings or money gifted from family and friends during these special moments – rest assured knowing our team can adequately address any concerns as needed along every point of this exciting new venture.
Why do we ask for proof?
In order to protect our clients and staff, we have a legal responsibility to ensure that any funds used for your matter haven’t been obtained from illegal methods.
Money laundering is an unfortunately common practice among criminals who look to hide “dirty money' by disguising it in multiple clean transactions.
By taking this action, we are doing our utmost best as a business not only to prevent the use of criminal activities but also avoid severe fines which could be imposed on us should protocols not be followed correctly. Rest assured - these extra steps don't mean you're under suspicion.
What will we ask for?
To begin our process, we will need an updated copy of your current account statement. If any additional funds have been brought in from savings or other methods, please provide those documents too.
Furthermore, for large cash transfers that may not appear on statements such as a car sale receipt - these require proof to be provided by you and the seller if applicable.
We also understand there are legitimate family contributions so in which case bank statements must be produced alongside yours when verifying funding sources.
If the money was provided through inheritance, we may ask for a copy of the Will, estate accounts, and proof of the money being transferred to you.
We understand the difficulty of this situation and are committed to providing a smooth transition. Rest assured, we will do all that is within our power to lessen any discomfort caused by of our requests. We’re here if you want to chat.