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Where Taxpayers and Advisers Meet

Transfer from overseas

riccardob
Posts: 92
Joined: Sun May 29, 2011 10:02 am

Transfer from overseas

Postby riccardob » Mon Aug 29, 2011 11:43 am

If proceeds from an inheritcance received from a foreign relative are significant ie 800k, how much hassle will there be should this money be transferred into a uk account by electronic transfer?

I believe there are stringent money laundering regulations that trigger all sorts of investigations.

I am helping a relative during this time and I do not want them to have the police or SOCA at the door treating them like a criminal just because they have received a transfer of money from overseas.
We have the grant of probate from overseas authority and foreign notary letters to prove the money is clean but I could do with knowing what happens once the money reaches the UK other than the usual bank FA call...
Are they likely to freeze these proceeds till they know what they are about?

thanks

tax_schmax
Posts: 392
Joined: Wed Aug 06, 2008 3:53 pm

Re: Transfer from overseas

Postby tax_schmax » Wed Aug 31, 2011 3:06 pm

Money laundering is usually undertaken when opening an account or making a deposit. It can be instigated for any other reason if the financial institution becomes suspicious. If fraud is suspected, investigations can be made under powers other than money laundering.

£800K is a large deposit, but not unusual. Inheritances are seldom suspicious. I would not be too bothered about any checks. The source of funds may raise an alert. For example, If the funds come from Afghanistan or Libya this might be looked into more than if they come from within the EU, although this is no guarantee.

If you are worried, pre-empt the banks adviser call and tell the bank you are receiving the money, show them your papers and be upfront. As I said, it is not unusual for people to receive large sums from inheritances, sales of a business, or the sale of another asset.


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