How long does a CHAPS payment take to clear?

CHAPS payments are processed on the same business day, provided they are submitted before the bank's cut-off time (usually 2pm–4pm, varies by bank). The payment is irrevocable once the receiving bank credits the funds, which typically happens within a few hours. CHAPS does not operate on weekends, bank holidays, or outside banking hours.

How much does a CHAPS payment cost?

Most banks charge between £20 and £35 for a CHAPS payment. Some business accounts have different pricing. A few banks offer free CHAPS transfers for personal accounts (e.g. Barclays reduced its fee), but this varies. Always check with your bank before sending.

What is the difference between CHAPS Faster Payments and BACS?

CHAPS is same-day and guaranteed, typically used for large amounts like house purchases (fee: £20–£35). Faster Payments is near-instant (usually under 2 hours, often seconds) and free, with a limit of £250,000–£1,000,000 depending on your bank. BACS takes 3 working days, is free, and is used for payroll, direct debits, and standing orders.

Is there a limit on CHAPS payments?

There is no upper limit on CHAPS payments — that is one of the main reasons they are used for property transactions and other large transfers. Your individual bank may apply its own limits for security purposes, but the CHAPS system itself has no maximum amount.

How Long Does a CHAPS Payment Take? — UK Guide | PocketWise

CHAPS (Clearing House Automated Payment System) is the UK’s high-value same-day payment system. Here is everything you need to know about how it works, what it costs, and when to use it.

CHAPS at a Glance

Detail	Information
Speed	Same business day (usually within hours)
Cost	£20–£35 per payment (varies by bank)
Maximum amount	No system limit — unlimited
Minimum amount	No minimum — but the fee makes small payments impractical
Available	Monday to Friday (excluding bank holidays)
Cut-off time	Usually 2pm–4pm (varies by bank)
Irrevocable	Yes — once processed, it cannot be recalled
Used for	House purchases, large transfers, urgent high-value payments
Operated by	Bank of England

How Long Does a CHAPS Payment Take?

Stage	Timing
You instruct your bank	Before the cut-off time (check with your bank)
Bank processes the instruction	Within minutes to a few hours
Money arrives at the receiving bank	Same business day — typically within 2–4 hours
Available to the recipient	Same day once credited by their bank

Bank Cut-Off Times (Approximate)

Bank	CHAPS cut-off (personal)	CHAPS fee
Barclays	3:30pm (online), 3:00pm (branch)	£20–£25
HSBC	2:45pm (online), varies (branch)	£25
Lloyds	3:00pm (online), 3:00pm (branch)	£25
NatWest	3:30pm (online), 3:00pm (branch)	£23
Nationwide	2:00pm	£25
Halifax	3:00pm	£25
Santander	1:30pm (online)	£25

Cut-off times change — always check with your bank on the day.

CHAPS vs Faster Payments vs BACS

Feature	CHAPS	Faster Payments	BACS
Speed	Same day (hours)	Near-instant (seconds to 2 hours)	3 working days
Cost	£20–£35	Free	Free
Maximum amount	Unlimited	£250,000–£1,000,000 (bank-dependent)	No system limit
Available	Mon–Fri (business hours)	24/7/365	Mon–Fri (processing days)
Guaranteed same-day	Yes	No formal guarantee (but usually instant)	No
Irrevocable	Yes	Usually (very short recall window)	Can be recalled within limited timeframe
Used for	House purchases, large urgent transfers	Everyday bank transfers	Payroll, direct debits, standing orders

When to Use CHAPS

Situation	Why CHAPS
House purchase (completion)	Required by solicitors — guaranteed same-day, irrevocable, no limit
Large business payments	Speed and certainty for high-value commercial transactions
Time-critical large transfers	When you need certainty the money will arrive today
Amounts above Faster Payments limit	Some banks limit Faster Payments to £250,000

When NOT to Use CHAPS

Situation	Use instead
Transferring money between your own accounts	Faster Payments (free, instant)
Sending money to friends or family (under £250k)	Faster Payments
Paying a bill	Direct debit, standing order, or Faster Payments
International transfer	SWIFT or a money transfer service
Regular salary payments	BACS
Non-urgent transfers	Faster Payments or BACS

CHAPS for House Purchases

Detail	Information
Who sends the CHAPS payment?	Your solicitor (from their client account to the seller’s solicitor)
Do you pay the CHAPS fee?	Yes — it is usually included in your solicitor’s disbursements (separate from their fees)
Can you send the deposit yourself?	You send your funds to your solicitor first (by Faster Payments or CHAPS), then they send to the seller’s solicitor by CHAPS
Why CHAPS for property?	Guaranteed same-day settlement, irrevocable, no limit — required for legal completion
What if the CHAPS arrives late?	Completion may be delayed to the next day — which can cause chain collapses
Typical completion day	Friday (most common) — but any weekday works

Typical Property Completion Money Flow

Step	What happens
1	You transfer your deposit and any additional funds to your solicitor’s client account (Faster Payments or CHAPS)
2	Your mortgage lender sends the loan amount to your solicitor by CHAPS
3	Your solicitor sends the total purchase price to the seller’s solicitor by CHAPS
4	Once confirmed, your solicitor confirms completion
5	You get the keys

CHAPS Safety and Fraud

Risk	Protection
Sending to the wrong account	CHAPS is irrevocable — extremely difficult to recall once processed
Fraud (fake solicitor emails)	Always call your solicitor to verify bank details — never rely on email alone
Friday afternoon fraud	Scammers target Friday completions knowing banks close for the weekend
Confirmation of Payee	CHAPS now supports Confirmation of Payee — the name is checked before sending

Protecting Yourself

Action	Why
Call your solicitor to confirm bank details	Email accounts can be hacked — verify by phone using a known number
Never change bank details based on an email	Common scam: “Our bank details have changed”
Use Confirmation of Payee	Verifies the account name matches
Send a small test payment first (if time allows)	Confirms the details are correct before the large transfer
Complete the transfer early in the day	Allows time to resolve issues before cut-off

International CHAPS

Detail	Information
Can CHAPS send money abroad?	No — CHAPS is a domestic UK system only
International alternative	SWIFT for bank-to-bank international transfers
Cheaper international option	Wise, OFX, or other money transfer services
Can overseas money arrive via CHAPS?	Yes — international transfers can settle into UK accounts via CHAPS

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