How do money laundering regulations affect estate agents?
As estate agents, we are legally required to comply with the Money Laundering Regulations 2017 (as amended) and the Proceeds of Crime Act 2002, under the supervision of HM Revenue & Customs (HMRC).
What is money laundering?
Money laundering is the process of concealing the origins of funds obtained through illegal or criminal activity, making them appear legitimate. The property market is often targeted for this purpose, as property can be used to disguise the proceeds of crime.
How does this affect you?
Just as you must prove your identity when opening a bank account, we are required to verify the identity of anyone buying, selling, letting, or renting a property through us.
If you are unable to provide the necessary identification or documentation when requested, we will not be able to proceed with the transaction.
KYC4U
We use KYC4U to verify your identity and undergo the required checks. KYC4U are compliance experts with expert knowledge of anti-money laundering regulations and specifically those relevant to real estate, a firm with over 20 years experience.
For more information visit: https://kyc4u.co.uk/
For private individuals we will need:
- Valid passport
- Valid photo-card UK driving licence (full or provisional)
- National identity card or photo-card driving licence issued by the country of residence (if residing outside of the UK)
Evidence of your current residential address (one document from this list)
UK residents
We utilise systems to verify your address. Where it cannot be verified, you may be required to upload a copy of your proof of address. Should this be the case, you can provide a UK photocard driving licence or any of the documents listed in the non-UK residents section.
Non-UK residents
If you reside outside of the UK you will be required to upload a certified copy of your proof of address.
- A utility bill issued within the last three months (excluding mobile phone bills)
- Bank, credit card, building society or credit union statement issued within the last three months
- A written reference (addressed to TDB Real Estate by the referee) from a bank or regulated legal professional who has advised the individual for the past two years.
Please note we are unable to accept C/O or P/O Box addresses, or insurance certificates as proof of address.
For corporate bodies (including companies, partnerships, trusts, etc.)
When carrying out due diligence on corporate entities, we are required to verify the organisation’s identity and understand its ownership and control structure. To do this, we may request certain information and supporting documentation, such as:
- Confirmation of the contracting party and its legal status
- Details of statutory directors (or equivalent)
- Identification documents for directors and any beneficial owners
TDB Real Estate will provide you with a list of requirements based on your specific entity type. We may also require some additional information and documentation to evidence your source of funds and wealth. It’s important that you start preparing all of the paperwork as soon as possible to reduce the risk of any delays to the transaction.
Where certification is required for corporate or ID documents, we can consider copies certified by a recognised profession (e.g. solicitor, bank, accountant or notary public). The documents must contain the details of the individual certifying the copy (including name, company and position), their contact details and date of certification.
For certification of ID and proof of address documents only, you may also bring your documents into our office.
If you have any questions
If you have questions on the due diligence process, please contact us.
How will your personal data be protected?
The security of information is very important to us and we have measures in place which are designed to prevent unauthorised access to your personal information.
There are strict access requirements in place and access is restricted on a need to know basis.
