The Council for Licensed Conveyancers (CLC) has today published draft guidance on how firms can use third-party managed accounts (TPMAs), instead of holding client money themselves.
The guidance follows proposed revisions to the CLC’s Accounts Code, which are currently under consultation.
It says that CLC firms can only use TPMAs regulated by the Financial Conduct Authority, and firms must also be authorised by the CLC to enter arrangements with a client to use a TPMA.
Funds held in a TPMA are not client money, as they are not held or received by a CLC practice, and so are not subject to much of the Accounts Code.
However, the guidance says that using a TPMA would not release the CLC practice from the requir...
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