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CHAPS payments explained
CHAPS is the UK system for high-value, same-day payments. You are most likely to meet it when buying a home or making a large one-off payment.
What CHAPS is
CHAPS stands for Clearing House Automated Payment System. Payments go through the Bank of England's real-time gross settlement (RTGS) system and are processed individually, and a payment sent within your bank's cut-off is credited the same working day and treated as final.
When is it used?
- Completing a property purchase, where your solicitor or conveyancer sends the funds on completion day.
- Paying large sums to a business or individual on the same day.
- Moving money between companies, or paying tax or legal settlements.
It can also be used for small amounts, but it is typically more expensive than Faster Payments, so it is rarely the first choice.
Hours and cut-offs
CHAPS runs on UK working days, not weekends or bank holidays. Banks set their own customer cut-offs, often in the late afternoon (one guide gives between 4pm and 6pm). A payment made after the cut-off may go on the next working day. If timing matters, such as house completion, send the money early in the day and confirm with your bank.
Cost
Banks usually charge a fee for each CHAPS payment. As a rough guide, one commercial guide gives about £20 to £35 per payment, but fees vary by bank and account, so check your bank's tariff. Check your bank's tariff before you send. Your solicitor may pass the fee on in their bill.
How to send one
- Contact your bank by app, phone or in branch. Many banks require extra security steps.
- Provide the recipient's name, sort code, account number and reference.
- Confirm the amount and the fee.
- Check the account details with the recipient by phone using a trusted number, not one in the email.
Conveyancing and fraud
Fraudsters target house purchases by sending fake emails that appear to come from solicitors, with changed bank details. Never rely on emailed bank details alone. Always call your solicitor on a number you already know to verify them. CHAPS payments are within the PSR's APP reimbursement rules, but the best protection is not to send the money to the wrong account at all. See APP fraud reimbursement and bank transfer scams.
If something goes wrong
Contact your bank immediately. A CHAPS payment cannot be cancelled like a card payment, but your bank may be able to ask the recipient's bank to return the money. See the wrong account guide.
CHAPS or Faster Payments?
For most everyday and moderately large payments, Faster Payments is quicker and cheaper but has bank limits. CHAPS is for when you need certainty that the money arrives on the same working day and there is no suitable limit. Ask your bank which it recommends and what it will cost.
Questions to ask your bank
- What is the fee and the cut-off time today?
- What proof of identity or extra checks will you need?
- Can you confirm in writing once the payment has gone?
This is general information, not financial or legal advice. Rules, limits and fees differ between banks and change over time, so check with your bank and the official sources listed.
Frequently asked questions
How fast is CHAPS?
Usually the same working day, within system hours and your bank's cut-off.
How much does it cost?
Banks set their own fees. One commercial guide gives about £20 to £35 per payment. Check your bank.
Can CHAPS be sent at weekends?
No. It runs on working days only.