Econveyancing and Verification of Identification
02/10/14 19:05 Filed in: E-conveyancing
PEXA has announced its options for verification of identity for property Lawyers and Conveyancers and their Clients'.
From PEXA's press release:
When joining PEXA, Property Lawyers and Conveyancers are required to have their identity verified to ensure the security and integrity of the system. PEXA has announced that this requirement can now be fulfilled at Australia Post branches nation-wide.
“Verification of Identity is the cornerstone in being able to provide a secure and safe e-Conveyancing environment to the Australian market,” PEXA CEO Marcus Price said. “By working with Australia Post, PEXA continues to take distance and geography out of the property exchange process.”
In addition, and as part of the land transaction process, Property Lawyers and Conveyancers need to take 'reasonable steps' to verify the identity of their client; the buyer or seller. From September, Property Lawyers and Conveyancers can send their clients to an Australia Post branch to have their identity verified if a face-to-face meeting isn't an option - a huge step forward for the growth of the industry.
There are two key steps in a property transaction that require a physical meeting of parties; the VOI check and physical attendance at settlement. Australia Post removes the first while PEXA takes care of the rest through its online lodgement and financial settlement capability.
In effect, this opens up new business horizons for Property Lawyers and Conveyancers who will now be able to operate nationally (provided they are certified to do so) without the geographical constraints experienced in today’s manual world.
It also provides more secure evidence of ownership and right to deal and, critically, that the person transacting with the property is the person named in the Register of Land as the registered proprietor.
In addition to Australia Post, PEXA is also working with ‘come to you' VOI service ZipID - an initiative supported by the Commonwealth Department of Industry.
“PEXA will be a faster and more efficient way of transacting property,” Mr Price said. “But more importantly, it will be the most secure way. Having Australia Post and ZipID work alongside us to deliver a convenient way to perform identity checks is a huge win for the entire industry.”
Why VOI is important to the Property Industry
It’s vital the Australian market has a safe and accessible means of providing identity verifications within a property transaction to prevent fraudulent activity and protect the integrity of its Land Registers.
In the manual world, a “reasonable steps” approach applies to the verification of a clients’ identity.
The Electronic Conveyancing legal framework formalised this requirement and as a result, all transactions completed through PEXA can be guaranteed to have been through the proper verification process.
Where next for PEXA?
PEXA Release 1 is currently live in Victoria, New South Wales, Queensland and Western Australia for new mortgages, mortgage discharges and refinances. The Major Banks as well as a number of additional Financial Institutions are currently using PEXA to perform these transactions.
Release 2 launched in June 2014 in a limited capacity (caveats only) for Property Lawyers and Conveyancers in Victoria. From Q4 this year, full functionality will launch to select Property Lawyers and Conveyancers in New South Wales and Victoria followed by the remaining states across 2015.
Property Lawyers and Conveyancers in New South Wales and Victoria can sign up for PEXA from late October. For all other states, the PEXA on-boarding process will begin in early 2015.
With the release of full functionality, PEXA will enable Banks and other Financial Institutions as well as Property Lawyers and Conveyancers to perform lodgements and financial settlements online. PEXA functionality will support new mortgages, mortgage discharges, transfers, settlements, caveats, notices and other administrative documents in one easy to use, intuitive electronic platform.
For more information please visit www.pexa.com.au or give us a call.