From the 14th October 2022 property buyers should bear in mind that there have been Revisions to the Cash Transactions Thresholds.
Our minister of Finance has revised the threshold for cash transaction reporting (CTR). This revision is now included in the Money Laundering and Terrorist Financing Control (MLTFC) Regulations. If you are buying property and need more information, click here.
What this means if you are buying a property:
- The new threshold for reporting cash transactions is effective from 14 November 2022.
- The new cash threshold has been increased from R 25 000.00 to R 50 000.00.
- This means that within 2 (two) to 3 (three) business days the institution that is providing your mortgage finance must report this value to the Financial Intelligence Centre or FIC.
- Reporting these cash transactions worth R50,000 will now be required by law.
- No more combined, multiple values to R25,000.
- But rather, any value of R50,000 from a reporting to the FIC is required. This process already exists so its not a new process that can cause delays.
- This is often the case when you buy a property. In a deposit, when you buy a property, normally a round number or a percentage of the sales price. This is commonly known as a deposit. And transactions are either cash or bond or cash and bond. These deposit values have been revised. Any property transaction amounting to the value of R50,000 will now be reported to the FIC.
Will this cause delays when you buy a property?
The short answer is no. Current transactions to the combined value of R25,000 are currently reported. The combined values of R25,000 now fall away and single values to the tune of R50,000 are now considered.
The normal business-as-usual process prevails. No extra work. No extra time to transfer a property when you buy or sell a property. Just stricter controls that protect us all.
Expert advice on New Cash Transaction Thresholds
Keller Williams Select is well placed through our strategic alignment with Louise Tonkin Incorporated to provide further advice on the matter. Louise Tonkin Incorporated is ready to answer any detailed questions you have if you believe the New Cash Transaction Threshold needs further info. Keller Williams Select and our team of strong Estate Agents are here to help no matter what. Louise Tonkin Incorporated is available too. Visit their website at https://www.ltinc.co.za/ or give the team at Louise Tonkin Incorporated a call at 011-472-2828.
Are you looking for your dream home?
Keller Williams Select as one of the largest real estate brands in SA has something for everyone. Visit our website to view all our properties on the market.
Are you planning on selling a property?
As one of the largest real estate players in SA, we have top agents that will call on you, at your convenience to help you arrive at the market-related value of your property. Click here to meet the KW Select team. Also, click here if you would like to know more about what goes into preparing an accurate property valuation. Click here to request your valuation online.
Hashtags in Action
#kellerwilliams #kellerwilliamsselect #buyproperty #sellproperty #bankonthebestwithkwselect #propertynews #cashtransactionthresholds
