www.iva.co.uk

Hi guys I need some specific help with my F&F. A very good friend and neighbour has made an offer on our behalf which has been accepted. He has given us the cash (which wasn’t in the bank just kept at home) which we paid into our account and then transferred to Stepchange. They are now saying because it came from our account and not his, that, due to money laundering rules, they need proof it came from him. As I’ve stated the cash was at home not in his bank so no paper trail. Can anyone advise on the best course of action to solve this.

I am afraid that they are correct and the rules are not theirs, but are under seperate legislation. It might be sufficient for your friend to provide a letter, stating where the money came from, as well as proof of identity, including a photo ID and proof of address ( utility bill / council tax bill / official letter).

Thanks for the reply.
He has already provided copy bank statement to prove he had the funds and all the other proof before they held the meeting. The problem is because he had the cash and gave it to us. Do you think it would be ok for us to submit our bank statement showing it paid in in cash accompanied by a note from him stating what he did ?

Thanks again

Jc69817 wrote:

Thanks for the reply.
He has already provided copy bank statement to prove he had the funds and all the other proof before they held the meeting. The problem is because he had the cash and gave it to us. Do you think it would be ok for us to submit our bank statement showing it paid in in cash accompanied by a note from him stating what he did ?

Thanks again

That may help ---- apart from money laundering, your IP also has to convince the creditors that he is satisfied the money is actually from a third party. We always advise that F&F funds are never deposited in the debtors bank for this reason.
However, under the money laundering umbrella they need to know where the cash in his possession came from. Can he find some way to evidence that ?

Yes I appreciate that but it’s just savings he had around. So no real way to prove it. He’s getting on a bit and doesn’t really trust banks completely so keeps some at home. If only he had given us a cheque there would have been no problem.
When they ring again I’ll put my scenario to them or may even sort it and send it over.
Thanks for you help

I feel the pain --- my dad was the same. Didn't like banks and never used an ATM in his life !

Best of luck with it.