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I have recently sold some company assets (not a large figure) and the buyer insisted on paying cash.

My question is, my BUSINESS bank charge 0.6% on cash deposits, which is annoying - In theory, is there anything wrong with paying the cash into my personal account (I am the sole director of the company) and then doing a bank transfer (which they do not charge for) of that amount direct to the company account? as long as this is documented, is there any reason I shouldn't?

Both accounts are in my name, and with the same bank (HSBC, UK).

(This is a hypothetical question really, I will almost definitely just deposit the cash direct to the account) I Know I COULD just hold the cash, and use it for bills etc, but then there is an accounting gap that would need to be addressed.

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If you asking about laws, you really need to indicate the locale. Countries, states, etc - all have different rules and laws. –  Joe Strazzere Feb 27 at 13:44
    
Good point - amended –  Steve2000 Feb 27 at 13:52
    
When you say "both accounts are in my name", do you mean that the business one has your name as the holder, and not the business name? –  DJClayworth Feb 27 at 14:23
    
It is in the company name, but my name is on the only debit card, and all correspondence is in my name (all statements etc) I set the account up. –  Steve2000 Feb 27 at 14:40
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How about changing banks to one that doesn't charge for you depositing cash at a branch. –  Victor Feb 27 at 19:38
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1 Answer 1

Let me do the math. .6% * (not large) = really tiny. Since "not large" = "small" , etc.

I suggest that even a small chance that you need to explain this to anyone in the future is a sign to avoid the risk. Yes, there are times that it's illegal. A real estate office may not deposit escrow funds into anything but a segregated escrow account. In your case, even if legal, it messes up 'the books' and can cost you more in grief than the 'tiny amount' saves you in cash.

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