SRA Handbook

Restrictions on transfers between clients

Version 21 of the Handbook was published on 6 December 2018. For more information, please click "History" above.

Rule 27: Restrictions on transfers between clients


A paper transfer of money held in a general client account from the ledger of one client to the ledger of another client may only be made if:


it would have been permissible to withdraw that sum from the account under rule 20.1; and


it would have been permissible to pay that sum into the account under rule 14;

(but there is no requirement in the case of a paper transfer for a written authority under rule 21.1).


No sum in respect of a private loan from one client to another can be paid out of funds held for the lender either:


by a payment from one client account to another;


by a paper transfer from the ledger of the lender to that of the borrower; or


to the borrower directly,

except with the prior written authority of both clients.


If a private loan is to be made by (or to) joint clients, the consent of each client must be obtained.

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