Client money on trial: what Kord’s TPMA webinar means for law firms
Summary
The article reports on a Kord webinar about the growing scrutiny of client money handling in law firms and the increasing interest in third-party managed accounts (TPMAs) as a way to reduce fraud and operational risk. It highlights concerns around payment redirection fraud, tighter client account reporting expectations, and the forthcoming COFA/COLP split from April 2027.
Why it matters
While aimed at law firms rather than surveyors, the piece is relevant to residential property professionals because client money controls, payment security and compliance expectations affect conveyancing transactions and associated risk management. Surveyors working alongside legal and agency firms should be aware of the direction of travel on client funds handling and fraud prevention.
Key points
- TPMAs are being presented as a more mainstream option for firms handling client funds.
- The article cites a fraud case involving more than £400,000 redirected through intercepted email correspondence.
- The panel argues firms retain control over payments while the TPMA provider handles operational and custodial functions.
- Client account reporting rules are said to be tightening.
- The COFA and COLP split is due to take effect from April 2027.
This is an RPSA summary of a publicly available article. The full content remains with the original publisher.
