Completion undertakings—Release of DS1 when the redemption money is received by the seller’s lender
Completion undertakings—Release of DS1 when the redemption money is received by the seller’s lender

The following Property guidance note provides comprehensive and up to date legal information covering:

  • Completion undertakings—Release of DS1 when the redemption money is received by the seller’s lender

TO BE PRINTED ON THE HEADED PAPER OF THE SELLER’S LENDER’S SOLICITORS

To:

[insert details of the buyer’s solicitors]

(the Buyer’s Solicitors)

[insert details of the buyer’s bank’s solicitors]

(the Buyer’s Bank’s Solicitors), and

[insert details of the buyer’s lender]

Dear [insert organisation name]

This undertaking relates to the sale of [insert property description] (the Property) to [insert buyer name] (the Buyer) and the discharge of the registered charge over the Property (the Charge) in favour of [insert bank bane] (the Bank) (together the Transaction).

We act for the Bank.

We confirm that:

  1. we are holding the Release Documents set out in Schedule 1 [(copies attached)] signed by the Bank in respect of the Charge to the order of the Bank;

  2. the amount required to redeem the Charge before [insert the time of completion specified in the contract] on [insert the completion date] is £[insert amount] and thereafter the amount required to redeem the Charge will increase by £[insert the daily rate of interest] for each day that completion is delayed (the Redemption Amount);

  3. the Bank has confirmed that following receipt of the Redemption Amount, it will give us written confirmation of that fact as soon as possible within banking hours on that day or as soon as reasonably practicable thereafter;

  4. we have the authority of the Bank to date the Rel