The over-riding objective of this policy is to achieve a fair outcome for both the client and Vincents Solicitors Limited. It is our policy to pay clients interest on funds held on their behalf in our Client Account in accordance with Rule 7 of the SRA Account Rules.
When we receive money from or on behalf of a client, it will be paid into a general client account with our bank.
The interest due (if any) will be calculated on completion of any client instruction / return of monies to clients, and will be added to the balance due to the client. The rate of interest paid to clients on money held in the general client account will be calculated with reference to the rate received by us from our bank. The interest rate paid will be reviewed annually and after changes to the Bank of England base rate, taking into account the reasonable cost and time incurred in managing our overall client account. It will be lower than both bank base rate and the rate that could be obtained by placing the money in a private investment account.
We will not pay interest in any of the following situations:-
1. If the amount calculated is £50.00 or less (as a de minimis amount);
2. On money held for the payment of professional disbursements, once counsel etc has requested a delay in settlement;
3. On money held for the Legal Services Commission;
4. On an advance from us into our general client account to fund a payment on your behalf in excess of funds already held for you in that account;
5. If there is an agreement to contract out of the provisions of this policy
In accordance with Law Society guidance, if the bank in which Vincents Solicitors Limited holds funds should fail we reserve the right to disclose to the FSCS the names and other details of clients whose money is held there in order for those clients to claim compensation up to the applicable limit, currently £85,000.
We will not be liable to you or any third party for any loss or damage suffered as a result of any act, omission, fraud, delay, negligence, insolvency or default of any bank, financial institution, clearing or payments system nor that of the directors, officers, employees, agents or representatives of any of the foregoing.
Interest is paid without any deduction of tax and where relevant must be disclosed to H M Revenue & Customs on Self Assessment (individuals) or Corporation Tax (companies) returns.
This policy will be reviewed from time to time to ensure the over-riding objectives are met.