PDA

View Full Version : Proof of payment when signing for escritua



Unregistered
02-07-2013, 06:53 PM
I am due to collect my escritua soon - this will be 7 years since the house was built. Although I have lived in the house there has been many legal delays on our urbanisation.
I have builders receipts for 6 stage payments but no other proof i.e. bank statements as transactions carried out through whichever currency brokers gave good rates at the time. These transactions were confirmed by an email confirmation and I never kept them after I knew they arrived at the builders.

Now I am told due to money laundering regulations when I go to the notary I must show proof of where the payments were made from. I am finding this near impossible as my bank only keeps records for six years and I cannot trace the currency brokers I used.

I do have evidence of the final payment as my bank in Spain carried this out.

So what happens now - will I not be able to sign at the notary and it looks like I will never find proof of my other stage payments?

Patricia
02-18-2013, 12:23 PM
Hello,

The Law requires the payments are identified, but not proved. That is, you must indicate who was the entity or person ordering the payment (yourself ) and who was the beneficiary ( the developer ), as well as dates, amounts and bank. That would be enough as the Law ( Notarial Regulations, Decree 2nd June 1944, Title IV, chapter I, article 177, modified by Royal Decree 1/2010, 8th January, article 1 (http://www.boe.es/boe/dias/2010/01/19/pdfs/BOE-A-2010-836.pdf)) establishes that the payment means will be regarded as identified either by the following details being documented or expressly stated by the parties on the deeds: If the payment was made by cheque: Writer and drawer, beneficiary, if nominative, date and amount. If it was made by bank transfer, it should be identified even if the account details were not shown, if the following are indicated: Sender, beneficiary/payee, date, amount, issuing bank and the sender and recipient or beneficiary. If you cannot obtain this information, you could mention payments were made in cash, taking the risk the Tax office starts procedures to find out if it was B money, though as the deadlines have expired they would most surely not do it.

In any case, the Notary cannot refuse to grant the deeds in such conditions ( in any case, the Notary can warn you about the risks ) nor can the Land Registry deny its inscription.

Nevertheless, if you keep a good relationship with the developer, you can request receipts from him, as he will keep copies in most probability, and if not, he can request copies from the bank.

Regards,

Unregistered
02-19-2013, 10:54 AM
Thank you for a comprehensive reply


Hello,

The Law requires the payments are identified, but not proved. That is, you must indicate who was the entity or person ordering the payment (yourself ) and who was the beneficiary ( the developer ), as well as dates, amounts and bank. That would be enough as the Law ( Notarial Regulations, Decree 2nd June 1944, Title IV, chapter I, article 177, modified by Royal Decree 1/2010, 8th January, article 1 (http://www.boe.es/boe/dias/2010/01/19/pdfs/BOE-A-2010-836.pdf)) establishes that the payment means will be regarded as identified either by the following details being documented or expressly stated by the parties on the deeds: If the payment was made by cheque: Writer and drawer, beneficiary, if nominative, date and amount. If it was made by bank transfer, it should be identified even if the account details were not shown, if the following are indicated: Sender, beneficiary/payee, date, amount, issuing bank and the sender and recipient or beneficiary. If you cannot obtain this information, you could mention payments were made in cash, taking the risk the Tax office starts procedures to find out if it was B money, though as the deadlines have expired they would most surely not do it.

In any case, the Notary cannot refuse to grant the deeds in such conditions ( in any case, the Notary can warn you about the risks ) nor can the Land Registry deny its inscription.

Nevertheless, if you keep a good relationship with the developer, you can request receipts from him, as he will keep copies in most probability, and if not, he can request copies from the bank.

Regards,