A rental payment platform based in Worcestershire has launched a solution to the thorny and controversial problem of undesignated client accounts.
Following a change in policy by many banks in their attempts to prevent money laundering, many letting agents have been threatened with the closure of their client accounts and, at the very least, have had to jump through hoops in order to stay compliant.
Since April 2019, any lettings or management business that handles clients’ money must be part of an approved Client Money Protection (CMP) Scheme in order to operate.
The Lettspay platform helps landlords and letting agents save valuable time while ensuring they remain compliant with CMP and Anti-Money Laundering (AML) regulations.
Its rental payment service was founded in 2019 by Claire Maclean and Garrett Foxon and provides an automated 24/7 banking solution that ensures agents remain fully in control of their client’s money.
Lettspay says it is unique in the sector bedause it’s registered with the Financial Conduct Authority and all of their controls and processes are regularly audited to ensure compliance.
The platform uses the latest finance technology to create separate accounts for landlords and generates individual sort codes and account numbers. Tenants are notified automatically by the platform to pay their account. When a payment is received, funds are automatically allocated, with agents simply approving payouts to landlords or relevant third parties with a single click.
Lettspay recently received a significant investment from the nutur group, parent group of the Guild, Fine and Country, Property Jungle, Brief Your Market and Starberry, and was also shortlisted for last year’s The Negotiator Awards.