22/10/2023
AML checks on source of funds
Buying property in the UK is one of the common methods used by organised criminals to launder the proceeds of criminal activity. For this reason, lawyers acting for you must do these checks (AML) on their client buying a property to make sure the money is coming from a legitimate source as they can be fined or imprisoned if they don’t. Do not be annoyed if you get asked for proof more than once as it is standard practice for lawyers to check where their client’s money has originated from.
What proof of funds can you provide?
You can do so by, for example, providing the following documents:
* a mortgage agreement in principle
* bank statements of your deposit amount (for mortgage buyers)
* bank statements of your cash amount (for cash buyers)
* further bank statements from past months/years to show how your money has built up over time
* evidence of you selling a property (if using the funds to buy the new property)
* if you have been gifted the money, a letter from whoever gifted the money
* tenancy agreement proving rentals
This list is not exhaustive as each buyer’s source of funds can be different and therefore will be asked to provide proof according to their particular circumstances.
Proof of ID:�Your lawyers will ask you for proof of your current address and your identity. You will be asked for some of the following forms of proof of identification.
* current passport
* Biometric residence permit
* current UK/EU photo driving licence
Proof of address:
* a current council tax bill
* recent mortgage statement
* recent bank statement
* recent utility bill
If anyone requires legal representation in buying a property, please PM me.