shimself
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Post by shimself on Nov 19, 2014 19:00:28 GMT
This just in ArchOver has always segregated client money into separate “client accounts” from which ArchOver has disclaimed all economic interest. ArchOver’s finance team are now taking responsibility for the administration of "client accounts", replacing an external supplier, BDO, in this function. Doesn't sound great to me; in extremis some misguided soul might be tempted to keep the wolf from the door for a while with a bit of money shuffling and then claim error.
Having said which I'm not sure who uses an external client money a/c (TC and THC definitely do)
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bugs4me
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Post by bugs4me on Nov 19, 2014 22:59:38 GMT
This just in ArchOver has always segregated client money into separate “client accounts” from which ArchOver has disclaimed all economic interest. ArchOver’s finance team are now taking responsibility for the administration of "client accounts", replacing an external supplier, BDO, in this function. Doesn't sound great to me; in extremis some misguided soul might be tempted to keep the wolf from the door for a while with a bit of money shuffling and then claim error. Having said which I'm not sure who uses an external client money a/c (TC and THC definitely do) AFAIK, this is fairly common practice (especially with insurance brokers) but there must be total segregation between the normal business account(s) and the client account. Cross contamination is not permitted under any circumstances and would be a direct breach of FCA regulations. Plus of course they are required to have PI insurance so any criminal losses within the client account would be covered.
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Post by hugoarchover on Nov 20, 2014 9:56:26 GMT
Hi We have always segregated client money into separate client accounts so we cannot touch it/shuffle it around just like you point out bugs4me. When we started we felt BDO services might afford another layer of security for our lenders – in reality it was a bit OTT and we were (as far as I am aware) the only P2P business who were doing this. We are now part of Hampden Group (since May 2014) so the BDO additional control is really not required now we have a large group behind us. Hampden Group are a leading provider of financial/business support services managing insurance assets and underwriting capacity in excess of £2bn. Hampden is an investor in ArchOver and active investor over the ArchOver platform – we are one of the few platforms institutionally backed.
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