What AML checks actually involve

You’ve decided to sell. Someone in the process then asks for your passport, a utility bill and, at some stage, evidence of where money came from. If your first instinct is that this feels intrusive, that instinct is healthy. Here is what is actually being asked, why, and how to tell a legitimate request from a scam.

What AML is

Anti-money-laundering rules exist because property is one of the most effective ways to convert criminal money into clean assets. A house is expensive, the transaction is legitimate on its face, and the paper trail can be made to look ordinary. So UK regulations place a duty on the professionals involved — estate agents, auctioneers, solicitors, property businesses — to verify who they are dealing with.

It is not discretionary, and it is not a judgement about you. Everyone gets checked, including people the firm has known for twenty years.

What you’ll actually be asked for

Proof of identity

Usually a passport or photocard driving licence. Sometimes verified through an app that takes a photo of the document and a selfie, sometimes by showing the original in person or on a video call.

Proof of address

A recent utility bill, council tax bill or bank statement — typically dated within the last three months. A mobile phone bill is often not accepted.

Source of funds, if you’re also buying

Where the money for a purchase came from: mortgage offer, sale proceeds, savings, a gift, an inheritance. If it’s a gift, the person giving it usually has to be checked too, which surprises families every time.

Company or trust details, where relevant

If a company owns the property, expect questions about who ultimately controls it. If a trust or a power of attorney is involved, expect more documents rather than fewer.

How to tell a proper request from a scam

Conveyancing fraud is real and expensive, and criminals imitate exactly this stage of the process. A legitimate request will:

• Come from a firm you already instructed, at a point in the process where it makes sense — not out of the blue.
• Explain why it is being asked and under what obligation.
• Use a secure route or an established verification provider, rather than asking you to email documents as attachments.
• Never ask for your online banking login, card PIN or a password. Nobody legitimate needs any of those, ever.
• Never pressure you into transferring money to a “new” or “updated” account. Bank details changing by email is the single most common property fraud there is.

If anything about a request feels off, stop and phone the firm on a number you already had — from an earlier letter, or their website you navigated to yourself. Never the number in the suspicious message.

What happens to your documents afterwards

They’re kept as a record that the check was done, for a period the regulations specify, and then disposed of. You have rights over that data under UK GDPR: you can ask what is held about you and why. Any firm holding it should be registered with the Information Commissioner’s Office, and you’re entitled to ask whether they are.

The short version

Being asked for ID when selling a house is normal, universal, and a sign the person you’re dealing with is doing the job properly. Being asked for banking credentials, or told at the last minute that account details have changed, is never normal. The first should reassure you. The second should stop everything.

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MosStone runs AML and KYC checks on every transaction, and we’re registered with the ICO. If you’re selling and want to understand the process before you start it, ask — that’s a free conversation.