What is a Bank Safeguarding Letter, and what are my CMP responsibilities?

This article explains how Bank Safeguarding Letters work, and what your Client Money Protection (CMP) responsibilities are when using Calmony client banking services. 

What is a Bank Safeguarding Letter?

A Bank Safeguarding Letter is a document issued by our banking partner, Griffin Bank, confirming that your client money account is held in a designated safeguarded account. This letter provides evidence that client funds are protected in accordance with regulatory requirements.

Requesting your Bank Safeguarding Letter

Once your Calmony client banking account has been opened and is operational, you may request a Bank Safeguarding Letter by contacting us at support@calmony.co

Client Money Protection (CMP) membership

Under UK legislation, it's the agent's responsibility to obtain and maintain Client Money Protection (CMP) membership and appropriate insurance. This is a legal requirement for letting agents who hold client money, and compliance remains solely your responsibility as the account holder. Calmony provides the banking infrastructure for client money handling, but CMP membership is the responsibility of the property agent.

Griffin Bank may request to see your CMP Certificate as part of their ongoing compliance checks - please ensure you have your current certificate available and can provide it upon request.

Important: failure to provide a CMP certificate, where we believe you may be operating without valid CMP, will result in Calmony notifying your local trading standards department.

When we may rescind a Bank Safeguarding Letter

We may rescind (withdraw) a previously issued Bank Safeguarding Letter if:

• You cancel your Calmony contract after the minimum 12-month term, or during any subsequent 12-month rolling term.
• There is an outstanding and unpaid invoice on your account.
• Funds are not deposited into the bank account within 90 days.

If any of these apply, we will notify you of our intention to rescind, specifying which condition has been triggered, and will also notify your current CMP provider of the rescission.

Frequently asked questions

How long does it take to receive a Bank Safeguarding Letter?
1-5 working days.

What should I do if my CMP provider contacts me about a rescission notice?
Contact Calmony immediately to resolve the underlying issue, whether that's an outstanding payment, contract matter, or funding requirement.

Can I reinstate a rescinded Bank Safeguarding Letter?
Yes - once the triggering condition has been resolved (payment made, contract renewed, or funds deposited), you may request a new Bank Safeguarding Letter.

Contact us

For questions about Bank Safeguarding Letters or the CMP process, email support@calmony.co