No bank account

Z

Zagorka

Registered User
Messages
12
Hello All,

A hypothetical payroll question.

Just wondering if it's possible to have your wages paid into a friends bank account (if you don't have an account of your own) or is this illegal under money-laundering (or any other) legislation.

Thanks for your help,
Za
 
Not illegal, so far as I know, but I suspect that no employer would agree to do so because of the number of risks involved.

What if you and your friend had a disagreement while your money was in his account???

If you disagreed with your employer in the future, could you claim that you were never paid??

Why not open a bank account? If you do not have the usual documents (utility bills, etc), then special arrangements can normally be made. For some guidance see [broken link removed]
 
There is tax evation issues (if the friend is audited). There would be problems if you are a bankrupt...
 
Most employers only take personal bank a/c details its too risky
 
Pique318 said:
ah Bertie, is it yerself ? :)
Click to expand...

Ha Ha! No, it's not Bertie. He only deals in cash now.

I work in payroll and I regularly get people saying they don't have a bank account and giving me their friends bank details. I always insist on a personal bank account for each employee, but I was just wondering what the legalities are regarding this.

Thanks,
Za
 
Zagorka said:
Ha Ha! No, it's not Bertie. He only deals in cash now.

I work in payroll and I regularly get people saying they don't have a bank account and giving me their friends bank details. I always insist on a personal bank account for each employee, but I was just wondering what the legalities are regarding this.

Thanks,
Za
Click to expand...

Has your employer not got a solicitor?
 
I don't know about the tax/legal issues but...

For all you know its already happening. If an employee tells you to pay his money to 9x-xx-xx 12345678 you have no way of knowing whether that account is in the name of the employee or not.
 
vector said:
I don't know about the tax/legal issues but...

For all you know its already happening. If an employee tells you to pay his money to 9x-xx-xx 12345678 you have no way of knowing whether that account is in the name of the employee or not.
Click to expand...


Am I righ in suggesting that part of the banks process is to ensure the name on the account matches the name on the file sent for payment.

Example if a company sent a file for payment with account 9x-xx-xx 12345678 account holder Joe Bloggs and the bank found account 9x-xx-xx 12345678 account holder Vector it would (should)be rejected.

Otherwise a dishonest payroll clerk/ Payments officer could change bank details so all funds would wind up in their account.
 
perhaps with business internet banking,
but I know of, and indeed have worked for, smaller companies (10 people of less) that do a credit transfer manually from internet banking with just a sort code and account number
 
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