Solicitors Client Accounts

[90210]

I have a question for any solicitors that peruse these pages. Take the example of a house purchase; as far as I am aware solicitors have to set up a client account when receiving money from or on behalf of their client? But it is just one account for all clients.



If my solicitor takes a cheque from my Mortgagor and lodges to his account and then, after a few days makes a cheque payable to the vendor, what happens to the interest on the money in between?



Also if I instruct a solicitor to work for me on a particular case and I forward him say 10K what happens to the money earned on interest?



Just a query as it seems to a varied response depending on what type of solicitor you deal with, whether you get the interest or not.

 

[bond-007]

AFAIK solicitors have one client account for their clients.

 

[mf1]

Take the example of a house purchase; as far as I am aware solicitors have to set up a client account when receiving money from or on behalf of their client? But it is just one account for all clients.

Normally just one account. In some circumstances, a solicitor may open a dedicated deposit account for a client ( in solicitors name) if likely to be holding funds for an extended period.

If my solicitor takes a cheque from my Mortgagor and lodges to his account and then, after a few days makes a cheque payable to the vendor, what happens to the interest on the money in between?

Solicitors are accountable to clients for interest earned on clients funds above ( I think) 100 euro but not below that figure. In reality, most clients funds are passing through on a very transitory basis and the interest would be negligible. It is not a money making exercise in my opinion.

Also if I instruct a solicitor to work for me on a particular case and I forward him say 10K what happens to the money earned on interest?

Are you paying fees in that case? Then no interest accrues. But if you are asking the solicitor to hold that sum ( say as part of a settlement being offered? ) then solicitor is accountable for interest earned above the threshold.

mf