New Rules queries

[hham1224]

Dear All,

I am running my own accountancy practice which is geniune from all respects but does it means that I have to have access to £50,000 all the time, taking in to account my business is serviced based and doesnt require much of the investment. Why should I keep access to £50,000? Why Shouldn't I take advantage from that by using it personally and use it on money coming in and going out principle i.e. a normal business approach you sale pay your business expenses and take the net profit home (just illustration) for sole traders and dividends for the ltd.

[alex87]

The new rules have primarily been introduced because a lot of people are recycling funds and the same funds are being used as proof by multiple applicants. Keeping this in mind, it is rather obvious that the UKBA needs to ensure that those applying genuinely have access to the money. For this reason, applicants who applied months in advance have the option of putting the money back into their accounts if they have withdrawn it, but it seems that lots of people are unable to do so. It clearly shows that the UKBA only has the option of asking the applicant to have access to the funds on an ongoing basis, because lots of people who do not in fact have access to the funds in the long term are applying under this category.