RTM Regulation For Client Bank Account

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    RTM Regulation For Client Bank Account

    I have been trying now since August to set up a client bank account for our RTM company. Corona has caused unprecedented delays to the process, and the problem I have is Metro Bank have informed to me (at the final hurdle) that we need to be a member of either:

    ARMA
    CMP ( Client Money Protect)
    Money Shield

    In order for us to be 'regulated' in order to open a client account, having failed to mention this over the past 2 months that the application has been ongoing.

    Natwest also needed the above, has anyone else had this issue? I have set up a regular client account so we can at least get our service charge fund transferred over from the previous managing agent and pay some of our bills, but I know this is not correct practise and will need a client account setup ASAP.

    Thanks,


    #2
    First I have heard of this. We have loads of client accounts which involve none of the above.

    Comment


      #3

      you already have a client account so what's the problem ?

      Comment


        #4
        Originally posted by Section20z View Post
        you already have a client account so what's the problem ?
        I suspect OP means having the account declared as "In Trust" - which is a requirement to protect the lessees.
        It involves a simple letter from the bank, and should probably be incorporated in the account name.

        Comment


          #5
          AndrewDod Correction above , I have set up a regular current account just to get us by for the time being.

          Do you work at a bank? Or can you tell me which bank you know of that doesn’t require this type of regulation?

          Comment


            #6
            No - by "we have" I meant on the customer side. Most were opened a few years back so not sure if some new bizarre rule. All you need is an acknowledgement from the bank that it holds funds in Trust. Every bank will open accounts for a company - there is no rule they need to ask for some sort of professional registration.

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