Lenders, panel and loan offer
Releasing the funds for a mortgage: who triggers it, when the money is transferred, and how to avoid a delay
The notary calls the funds, not you. What the lender checks before paying out, when to transfer your own contribution, and how to avoid a delayed release.
It is the notary who triggers the release: they call the funds from the lender, who transfers them to the notary’s office account a few days before the signing, once the conditions of the loan offer have been verified. Nothing is transferred before the acceptance of the loan offer, which is impossible before the end of the cooling-off period. To meet the date: accept the loan offer on time, fulfil the conditions for which you are responsible, and transfer your own contribution to the notary.
By Sandy MASCART, mandataire d'intermédiaire en opérations de banque et en services de paiement ORIAS 26000541 sous le mandat de CDV PATRIMOINE & ASSURANCE (ORIAS 14005573)
Key points
- It is the notary who calls the funds from the lender, never the borrower; the money goes from the lender to the notary’s office, and then to the seller on the day of the deed.
- No release takes place before the acceptance of the loan offer, which itself is impossible before the end of the cooling-off period.
- The lender checks the conditions of the loan offer one by one before transferring: signature, insurance in place, guarantee granted, own contribution justified.
- For new builds or for works, the funds are paid in several instalments, in line with the calls from the developer or the invoices presented.
- The loan starts on the day of the effective release, not the day of the signing of the loan offer, and the first instalment includes interest for an incomplete period.
The notary requests the funds, and the bank transfers them to the law firm’s account a few days before the signing. It is up to you: accept the loan offer in time, lift your conditions, and transfer your contribution. The complete process: lenders, panel and loan offer.
Who triggers the release of funds
The notary, by requesting the funds from the bank once the signing date has been set. The bank verifies the conditions of the loan offer, then transfers the money. The funds move from the bank to the notary, and then to the seller on the day of the deed.
- You accept the loan offer.
- The bank sets up the loan, once the conditions have been lifted.
- The notary requests the funds: the loan from the bank, and the contribution and fees from you.
- Everything is transferred to the law firm’s account.
- The deed is signed.
Step 3 is the one that most often causes problems. Have you accepted the loan offer? Ask the law firm: on what date do you request the funds?
No funds before the end of the cooling-off period
The loan offer can only be accepted after the cooling-off period, and nothing is transferred before then, even if the seller is in a hurry.
- Délai de réflexion de l'emprunteur 10 jours
- Maintien minimal des conditions de l'offre 30 jours
Le délai de réflexion est incompressible : vous ne pouvez accepter qu'une fois qu'il a expiré. La durée de maintien, elle, est le temps minimal pendant lequel la banque reste tenue par ses conditions — à rapprocher de la date prévue chez le notaire.
- En vigueur depuis le
- Source
- Article L. 313-34 du code de la consommation — Légifrance
Note the deadline for the availability of funds in the loan offer. Is the sale slipping? Request an extension in writing and in advance. The countdown: the loan offer and its deadline.
The conditions to be met for a timely transfer
| What the bank expects | Who provides it | The document |
|---|---|---|
| The accepted loan offer, signed by all borrowers and guarantors | You | The returned loan offer, dated |
| The borrower insurance in place | The insurer | The insurance certificate, or the agreement on the external contract |
| The guarantee granted | The guarantee body, or the notary | The guarantee agreement, or the draft deed |
| The account opened, if the loan offer provides for it | You and the branch | The account agreement |
| The available down payment | You | The statements, in your name |
| The call for funds | The notary | The call for funds from the notary's office |
Initiate the insurance as soon as the agreement in principle is granted: it is the longest. The guarantees: guarantee or mortgage.
Your down payment: to the notary, from your account
- Release the savings early: ask about the deadlines as soon as the preliminary sale agreement is signed.
- Check your transfer limits with the branch.
- A new RIB from the notary's office received by email? Typical fraud scenario: confirm with the number you know.
The origin of the funds can be read on your statements: the personal down payment.
New build and works: instalments in several tranches
The bank only pays what is due: at each call from the developer, or on invoices. In the meantime, you generally only repay the interest on the amounts paid.
Forward each call or invoice yourself, quickly, and note the deadline for the full release of funds. See the off-plan purchase and the works.
First instalment
It generally falls in the month following the release of funds and covers the accrued interest. The insurance is payable from the release of funds. Is there still a rent due? Allow for the cumulative payment.
What delays the release of funds
- A loan offer returned incomplete.
- An insurance policy not finalised.
- A late call for funds.
- A change after the loan offer: a reissued offer, a new cooling-off period.
- A new loan in the meantime: wait until you have the keys.
- A deadline exceeded: the extension must be requested beforehand.
See the timeline from the preliminary sale agreement to the keys.
What I prepare with you
I am a mortgage intermediary working under mandate: neither the loan nor your contribution passes through me. I record the dates, track each condition until the supporting document is received, and follow up with the law firm and the lender.
Fees · documents to gather. No news on the call for funds? Call.
Create your file and keep the date with the notary.
Sources
Read next
- Banks in Lyon: 54 mortgage lenders
- Loan offer: cooling-off period, validity, and how to avoid starting over The cooling-off period is counted to the day, the validity of the terms, and the modifications that require a reissue: accept your offer without losing time.
- How long between the preliminary sale agreement and the keys? The actual timeline, and where to save time From sale agreement to keys, step by step: the legal deadlines that cannot be cut, those that can, and six levers to keep the timeline short.
- Off-plan purchase and construction: funding calls, interim interest and amortisation deferral What you pay between the signing and the delivery of a new home: the schedule of funding calls, interim interest, deferral, insurance.
- Understanding your loan offer: the twelve clauses to check before signing The twelve clauses of the loan offer, in the order of the document: what is negotiable, what the law caps, and the three points that cannot be rectified.
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