This message is for Subscribers who sign in PEXA using a Mac computer.
Apple has released its newest Mac operating system, Catalina and while macOS Catalina is the most up-to-date software, the changes implemented by Apple affect how this operating system interacts with smartcards or USB tokens containing digital certificates.
PEXA together with its vendor have performed several tests which identified that those who sign with a Mac computer will not be able to do so if they upgrade to macOS Catalina.
To ensure that your PEXA experience is not impacted, we suggest that you defer updating to the macOS Catalina. Signing on the previous macOS versions such as ‘Mojave' continues to work and the operating system will remain under support by Apple for the foreseeable future. Note that it remains important to apply any issued security patches for your version of MacOS.
Alternatively, if you have access to a Windows computer you can use it to sign in PEXA as well. See https://www.pexa.com.au/digicert for instructions to install the necessary software.
Below, please find a list of frequently asked questions on the matter. Can’t find the information you’re looking for? Reply to this post and we’ll get back to you as soon as possible.
MacOS Mojave is still supported by Apple, and using it will not breach any system requirements. Deferring upgrade to Catalina does not restrict the updating of security patches. It is important that your security patches are up to date and that you are using supported operating software.
You may use an alternative computer (Windows or one that is not updated to macOS Catalina) to sign. Note that you may need to install the digital certificate software, found here.
As an option, you may also check with Apple if you are able to downgrade to the prior macOS Mojave. Your ability to downgrade, could be subject to having backed up your system prior to the upgrade, and unfortunately, we are not able to provide you any guidance on this. We recommend contacting Apple or your IT support on this matter.
No, the changes Apple has implemented with the macOS Catalina impacts the way it reads signing tokens (otherwise referred to as smart cards) in general and impacts other applications that use digital certificates.
No, according to the e-Conveyancing legal framework, MPR 7.1, sharing of digital certificates is prohibited. A digital certificate is equivalent to a wet signature and using someone else’s is akin to forging a signature.
Digital Certificates enable you to securely sign documents electronically on behalf of your clients, as well as authorise a number of key actions within PEXA. There’s a number of helpful resources on Community to assist you with maintaining and using your Digital Certificate – from these, we’ve put together our top five quick tips below.
Take care of your Digital Certificate
Digital Certificates are essential to facilitating electronic settlements on behalf of your clients – so please handle them with care! We request that you are particularly mindful of protecting the physical casing containing the Digital Certificate. Digital Certificates are not designed to co-exist on personal key rings and are meant to be kept in a secure location. All PEXA Digital Certificates are sourced from a third-party vendor and in case of a broken unit or its casing, the Subscriber will be responsible for the cost of a replacement token or case.
If restructuring your business, new Digital Certificates may be required
If your business is changing its legal entity, it’s important to note that you’ll need to re-register with PEXA. This process includes ordering fresh Digital Certificates in line with your new legal entity, as the tokens associated with your previous legal entity will not be able to be used to sign documents.
Ensure the details for your Digital Certificate are correct
Your name in PEXA must be identical to the name that is hard coded on your Digital Certificate. This includes the inclusion or exclusion of middle names, and names that do not match your legal name, such as the shortening of names – ie, Sam Vs. Samuel. Further to this, your email address in PEXA must be identical to the email address that is hard coded on your digital certificate, including the inclusion or exclusion of dots in between words.
You can change your name in PEXA if it is incorrect (ie. middle name included in PEXA but no middle name on Digital Certificate), however in order to change your name or email address on your Digital Certificate if ordered incorrectly, you must re-order the USB as changes cannot be made to the hard coding.
You must not share your Digital Certificate
The rules around sharing your digital certificate are designed to protect the integrity of the network, and the integrity of your signature. PEXA, the e-Conveyancing regulator ARNECC and jurisdictional land registries take this issue very seriously, just as your business would when dealing with a wet signature on paper documents. To this end, it is your organisation’s responsibility to verify the identity of any digital certificate users or recipients.
If you already hold a PEXA Digital Certificate and would like to purchase an additional PEXA Digital Certificate(s), you should complete this form.
You can renew your Digital Certificate via PEXA Plus
Digital certificates will expire after three years and must be renewed. Subscriber Managers/Administrators with an active Digital Certificate can renew Digital Certificates. Subscriber Managers/Administrators should access PEXA plus to view and action any upcoming expiries. We recommend you use Google Chrome for optimum performance. On submitting the renewal form, the Subscriber Manager/Administrator will be prompted to sign using their Digital Certificate. If you are not a Subscriber Manager/Administrator and have been informed that your Digital Certificate is expiring, you should get in touch with your Subscriber Manager/Administrator to submit a renewal form on your behalf.
Only an Incoming Proprietor or a Proprietor on Title can join a Workspace. This functionality is not available for any other roles, for example, Incoming Caveators, Incoming Mortgagees, Mortgagees on Title.
If a Workspace has already been opened, and the Subscriber is in the role of Incoming Proprietor or Proprietor on Title, they will see the Existing Workspace pop up screen (formally the Duplicate Land Title pop up screen) and now have the option to join. The Subscriber will then have to tick a checkbox to confirm that they are authorised to represent the said party.
If an invitation has already been sent to the Subscriber, they will only see a ‘View Invitation’ option on the Existing Workspace pop up screen.
The Subscriber will be responsible for removing themselves from the Workspace. The existing Subscribers in the Workspace may request that the party who erroneously joined to remove themselves. Failing which, as they do today, existing Subscribers in the Workspace will need to escalate the matter to PEXA Support.
Once the matter is escalated to PEXA Support, PEXA will then request the party remove themselves from the Workspace, or face the possibility of suspension.
Note that the Participation Agreement has been updated to include the obligation for Subscribers to join Workspaces only if they have the authorisation to represent a said party to the transaction. Persistent failure to comply could be met with suspension.
The following changes were incorporated in the Participation Agreement in May. The revised agreement was shared with all Subscribers via the May Clicks and Mortar newsletter (and direct by email for those who have unsubscribed to the newsletter)
4.1 (f): to only enter an Electronic Workspace where the Subscriber is authorised to represent party to a Conveyancing Transaction involving the Land Title Reference, the subject of the Electronic Workspace;
Subscribers will be able to see title details, which is available in a title search. As per today, when Subscribers join a Workspace upon acceptance of an invitation, they will be able to see any information, if already entered that a Subscriber in that role would be able to view.
As part of PEXA’s ongoing security initiatives, we have simplified and enhanced the new user activation process.
Previously, new users were activated via a partially manual authorisation process, which could take up to two days to complete. From 4 March 2019, this process will be replaced and subscribers can activate new users with a digital signature.
Below are frequently asked questions about this new process. If your question isn’t listed below, please comment beneath.
Any Subscriber Manager or Subscriber Administrator with a digital certificate can create a user – no additional form of signing permission is required. When a new user is created, they will remain in a status of ‘Pending’ until activated.
To enhance the PEXA Subscriber’s security when creating a new user. It will also: • Simplify and enhance the new user activation process • Greatly improve the efficiency and time to activate a new user • Provide visibility around who created and who activated the user
Yes. New users will receive two notifications: 1. The first notification will advise them that they have been created as a PEXA user and are in a status of ‘Pending’. 2. The second notification will advise them that they have been activated as a PEXA user and can now use the platform.
If a user does not login for a period of over 100 days, their access to PEXA will be suspended. Note that this is not a permanent suspension and Subscriber Managers can reactivate access via the 'Manage Users' section on the PEXA platform. To find out how to manage users, follow our guide on Community.
It’s important that only users who need to utilise PEXA have access to the platform. If an employee has left your organisation, access to their PEXA account should be removed to prevent unwarranted access to the PEXA System.
Rule 7.3 of theModel Participation Rules requires that Subscribers keep user profiles up-to-date. In addition, paragraph 4.5.2 ofPEXA's Security Policy requires Subscribers to perform regular checks of their User profiles and, where applicable, remove inactive User profiles.
Your organisation’s PEXA Subscriber Manager(s) can remove, suspend or reactivate users. It's important to note that Subscriber Managers do not need a Digital Certificate to reactivate a suspended user.
No, the PEXA Subscriber Manager(s) from your organisation is able to remove, suspend and reactivate users and does not need to call PEXA Support to complete any of these tasks. It's important to note that Subscriber Managers do not need a Digital Certificate to reactivate a suspended user.
If an employee leaves your business, you should check that their PEXA user profile has been removed and terminate their Digital Certificate (note: you’ll need to contact PEXA directly for Digital Certificate termination).
Have a question regarding inactive users? Reply to this post and we’ll get back to you as soon as possible.
The government has mandated electronic lodgment of stand alone transfer dealings normally completed on the "01T" transfer form. What about other types of transfers? Can these be completed electronically? This table provides practical information on transacting transfers in PEXA in the jurisdiction of NSW.
So, you've lodged some dealings over the counter at LRS and have been either rejected or requisitioned after the fact as the dealing must be lodged electronically. How do you now proceed to lodge in PEXA?
New South Wales Land Registry Services (NSW LRS) will be carrying out a bulk conversion of paper certificates of title (pCT) to electronic certificates of title (eCT) on behalf of the Registrar General by the end of September 2018.
The NSW Office of the Registrar General posted an explanation of the transition, including FAQs, on their website. Please contact NSW LRS for any further questions on the bulk conversion process at email@example.com.
If you would like to post your questions below, we will pass them on to NSW LRS at the above e-mail address.
As part of the transition to 100% digital, the major Financial Institutions have agreed with NSW LRS, to lead the way with the bulk conversion of all NSW paper certificates of title in which they are the first registered mortgagee, to electronic certificates of title (eCT). This is a significant step in the industry transformation to e-Conveyancing.
When representing a purchaser in a settlement, you can complete a CT Inquiry or Title Search prior to settlement to find out whether a CT is paper or electronic.
Similarly, vendor representatives should provide a printed copy of the CT Inquiry or title search evidencing the title is an eCT and showing a Consent has been lodged.
NOTE: Mortgagees on Title are required to Consent to the details of the transaction, including the incoming proprietor and incoming mortgagee details. Practitioners should make these details available to Mortgagees on Title where there is an eCT and the settlement is proceeding in paper – this is not required for an online settlement. You can provide these details using the NSW LRS template here.
When representing the Mortgage on Title, financial institutions (ADIs-only) and/or their panel lawyer representative must complete a CoRD Holder Consent on PEXA. A standalone Consent on PEXA can be completed for paper transactions.
The CT is electronic and is required for settlement and/or lodgement of dealings (for example refinance, transfer, discharge of mortgage, registration of plans etc). A Consent must be lodged for both paper dealings and PEXA dealings.
In a PEXA transaction, a Consent must be lodged regardless of the title being paper or electronic.
Note: a Consent can only be lodged electronically. Currently in a paper transaction, a pCT must be handed over at settlement and lodged together with other documents for a dealing to be registered on title. The equivalent process where the certificate of title is electronic, is for the CoRD Holder to consent to the paper instrument or PEXA lodgement case via a Consent in PEXA prior to settlement and/or lodgement. If the CoRD Holder is a party to the transaction, they would lodge a Transacting Party Consent. If they are not part of the transaction, they would lodge a 3rd party Consent.
A paper Discharge of an ADI Mortgage can be lodged if it is dated: - before 1 March 2017 and is lodged as a standalone dealing. - before 1 August 2017 and is lodged as part of a refinance transaction with an ADI. - before 1 July 2018 and is lodged as part of a refinance transaction with a non-ADI. - prior to the conversion of the paper CT and is lodged with dealing(s) other than mortgage(s).
In all cases above, the Discharge of Mortgage should be lodged with the paper CT.
The bulk conversion of paper certificates of title is for Authorised Deposit-taking Institutions. If your client is an ADI, you should familiarise yourself with details and contact your client to discuss. See question one for a full list of transitioning ADIs.
No, some transactions in paper will still occur. The CoRD Holder will be required to create and lodge a CoRD Holder Consent in PEXA, regardless of whether the transaction is electronic, or paper based.
*The above FAQs are adapted from NSW ORGs webpage on the transition with additional explanations of PEXA functionality.
On Monday 18 June, at approximately 5pm, PEXA was made aware of a fraudulent situation where a practitioner’s email account was compromised.
In this instance, an unknown party intercepted a change-in-password email sent from the PEXA platform which in turn allowed this person to access the Subscriber’s PEXA account. As a result, the destination account details in the settlement schedule were fraudulently changed.
Below are some frequently asked questions we have received from our members on this matter. If you have any further questions, please don't hesitate to ask below.
In this instance, an unknown party intercepted a change-in-password email sent from the PEXA platform which in turn allowed this person to access the Subscriber’s PEXA account. As a result, the destination account details in the settlement schedule were fraudulently changed.
While the PEXA platform itself was not compromised, PEXA is working closely with all parties, including the relevant authorities to assist in every possible way.
The PEXA security team is currently undertaking detailed monitoring of all Workspace* activity, checking for similar scenarios where passwords have been re-set in close succession among other things which may be considered ‘unusual’ behaviour.
PEXA is also in the process of adding additional security measures. Click here to learn more.
PEXA will be introducing a new consumer guarantee for transactions conducted on the platform. We anticipate this guarantee will go above and beyond any guarantee available in the paper-based settlement process, and will provide greater safeguards to consumers whose conveyancer or lawyer uses PEXA. Further details will be made available shortly.
To date, over 1.2 million transactions have been successfully completed on PEXA. Instances of fraud and attempts of fraud have been incredibly low, in fact much lower than the paper process.
The PEXA system’s security is aligned with international standards. PEXA continues to comply with with the Model Operating Requirements as set by the e-conveyancing regulator, ARNECC.
An independent expert review, currently conducted by Ernst & Young (EY), is completed annually to ensure alignment with these standards. PEXA has consistently complied with these standards.
Further to this, confidence in PEXA’s system security has been demonstrated by the Reserve Bank of Australia (RBA), Land Titles Office, State Revenue Offices and many software providers (among others) by the successful integration with these parties.
PEXA protects its Subscribers in several ways. Firstly, the proper use of digital certificates mitigates the risk of fraud once the Signer has undertaken the appropriate checks and balances prior to signing to ensure accuracy of the information.
Digital Certificates allow the electronic signing of documents in PEXA on behalf of clients thereby eliminating the need to print and pen-sign physical documents.
A digital certificate is a PEXA Subscriber’s unique identity online. Anyone signing on the PEXA platform must use one for security purposes.
PEXA also uses encryption mechanisms and ensures all Subscribers agree to PEXA’s security policy to ensure their systems meet a certain standard of security when using the PEXA system.
We urge all our members to take the necessary steps to reduce the risk of fraud. This includes, among others, verbally confirming bank account details with clients, not using free public Wi-Fi, keeping security patches up-to-date and importantly, checking payment directions immediately prior to signing.
David Morrissey, Bankwest’s Executive Manager of Digital Operations Strategy, recently announced the availability of Bankwest Trust Accounts to all customers. Click here to read the entire post and for more information.
Tomorrow, standalone transfers and survivorships are moving online, see timeline here.
Below are some of your more frequently asked questions regarding the transition online for these instrument types. I will continue to add to the post throughout the day as questions arise – stay tuned!
Can a Survivorship and APR(Application by Legal Personal Representative)/Transmissions be completed in conjunction with a transfer?
At the moment this cannot be completed in conjunction with a transfer however it is possible through separate workspaces at no additional fee. Moving forward, it is in scope for future platform upgrades. PEXA acknowledges the inconvenience of having to prepare these in two separate workspaces and will continue to update the e-Conveyancing Community on our progress over the coming months.
Why do we need to input Market Value into a Transfer (e.g. Change in Manner of Holding) when it is not required in paper?
In support of Commissioner requirements, PEXA collects specific data for dutiable transactions as set out in 2015 by the Commissioners of each jurisdiction. One of these items is Market Value, complete with valuation/value details.
Can Party Tenancy Transfers be completed with Proprietor on Title and Incoming Proprietor as Transferees?
Yes. As of 5 February 2018, this functionality became available in Victoria. However, some scenarios are still unavailable. See below for in scope and out of scope capabilities:
Party A and Party B (Joint Tenants (JT) or Tenants in Common (TIC))
i.e. When removing one party from title
Party A and Party B (JT or TiC)
Party A and Party B (to change the manner of holdings)
i.e. When changing the manner of holding from JT to TIC or vice versa
Out of scope
Party A and Party B as either JT or TIC
i.e. cannot add a party onto the title
Party A and Party B as either JT or TIC
Party A and Party C as either JT or TIC.
i.e. cannot remove one party and add another to the title
If the transfer of land/survivorship application form was signed prior to 1 March 2018, can it be lodged in paper after 1 March 2018 or it must be lodged electronically regardless the execution date?
If the transfer of land/survivorship application form was signed prior to 1 March 2018 - it can be lodged in paper after 1 March 2018.
If the settlement date is on or after 1 March 2018 it needs to be completed electronically (regardless of execution date). Please see Registrar Requirements as it states:
"All Instruments set out in Registrar’s Requirements 6.3, 6.4 and 6.5 must be Lodged using an ELN...
6.5(c) a transfer of land signed on or after 1 March 2018, except when the transfer is to be Lodged with any other Instrument for the same folio(s) of the Register; and
6.5(d) an application by a survivor under section 50 of the TLA signed on or after 1 March 2018, except when the application is to be Lodged with any other Instrument for the same folio(s) of the Register;"
What happens when a non-PEXA Member is involved in "Paper Title and Cash Purchase" deal due to settle post mandate?
If a non-member is involved in “Paper Title and Cash Purchase” deal due to settle post mandate, they should contact PEXA immediately. In most cases, that non-member will want to commence their own PEXA registration and avail of the numerous training options available to complete transactions themselves.
In the event that registering with PEXA is not suitable for a firm, PEXA has various options to support industry. We are piloting alternatives for those practitioners who may not do enough conveyancing to stay up-to-date with e-Conveyancing requirements or transition that part of their business to digital. Please reach out if this scenario occurs.
For a non-monetary transfer what do I select if there is no contract? If it's a verbal contract what should I select?
In the case of no contract, select ‘NO’ and check all the names (as NO contract existed).
This is requested State Revenue Offices’ compliance data and requires a YES/NO answer.
PEXA Plus is a new gateway to transacting property online. The PEXA Plus portal offers a simple overview of all your PEXA workspaces, easy access to help content and the ability to renew PEXA Digital Certificates.
Access PEXA Plus via plus.pexa.com.au using your PEXA login details - we recommend using Google Chrome.
Note: When selecting a link for the first time, it may be blocked in your address bar.
In the address bar, click "Pop-up blocked."
Select "Always allow pop-ups from [site]"
New simplified views allow you to quickly see the date and status of upcoming settlements – from here, you can navigate to PEXA Workspaces requiring action.
Using the handy HELP and LEARNING CHECKLIST tools, you can search the Community for articles, videos and discussion forums – helping you become an e-Conveyancing expert as you complete more and more transactions online.
Digital Certificate renewal form
Subscriber Managers/Administrators can now renew Digital Certificates via an online form. Subscriber Managers/Administrators will be informed via email of the need to action any upcoming expiring Digital Certificates. More information can be found here.
The PEXA Plus hub will continue to evolve to streamline your e-Conveyancing experience for a faster and more efficient way of transacting property online. Your feedback will help shape this new one-stop hub for transacting in PEXA and beyond.
Once logged in to plus.pexa.com.au, you’ll see a blue feedback tab on the right-hand side. You can use this to let us know about your experience with PEXA Plus and what else you’d like to see within the hub.
If you have any questions about PEXA Plus, please ask them in the e-Conveyancing Community or contact your PEXA Direct Specialist.
Enjoy the new PEXA Plus experience – we look forward to hearing your feedback.
If you're interested in finding out more about PEXA Plus, we'd love to hear from you - simply reply to this post.
If you’re a Subscriber Manager/Administrator at a legal/conveyancing firm and have been informed of the need to renew Digital Certificates within your organisation, please access the online renewal form via the link below (we recommend you use Google Chrome for optimum performance):
Log in to plus.pexa.com.au to renew Digital Certificates
When selecting a link for the first time, it may be blocked in your address bar.
In the address bar, click "Pop-up blocked."
Select "Always allow pop-ups from [site]"
The online renewal form is housed within our new PEXAplus portal. PEXAplus is a new gateway to transacting property online and the beginning of a journey to provide you with a more engaging PEXA experience.
Here are answers to your most frequently asked questions about Digital Certificate renewals. Can't find what you're looking for? Leave a comment and we'll get back to you.
Only Subscriber Managers/Administrators with an active Digital Certificate can renew Digital Certificates. Subscriber Managers/Administrators should access PEXAplus to view and action any upcoming expiries. We recommend you use Google Chrome for optimum performance. On submitting the renewal form, the Subscriber Manager/Administrator will be prompted to sign using their Digital Certificate. If you are not a Subscriber Manager/Administrator and have been informed that your Digital Certificate is expiring, you should get in touch with your Subscriber Manager/Administrator to submit a renewal form on your behalf.
Digital Certificate renewals will incur a renewal fee. Fees associated with the renewal of Digital Certificates will be direct debited from your nominated fee paying account. Details of the renewal fees can be found in the Digital Signing Certificate Pricing Guide.
If you are unsure who the Subscriber Manager/Administrator is for your organisation (some organisations have more than one) and you are unable to find out via your colleagues, please contact our Support Centre on 1300 084 515.
All Subscriber Managers/Administrators within an organisation are notified of the need to action upcoming renewals. If you log on to PEXAplus and no renewals are displayed, it is likely that another Subscriber Manager/Administrator within your organisation has already actioned the renewals.
Changes to the name and/or email address of a Digital Certificate holder are not currently supported by the online renewal process. If a Digital Certificate holder’s name and/or email address has changed, please contact your PEXA Direct Specialist who will arrange an appointment with the authorised signatories to execute a paper form. If you do not have a PEXA Direct Specialist, please contact our Support team on 1300 084 515.
Note: if a user’s email address has changed, they will need to create a new corresponding user account in PEXA so their PEXA login email matches the email address associated with their new Digital Certificate.
These Digital Certificates are stored on a USB token. To sign in a PEXA workspace, you simply need to insert the USB into your computer and enter your unique PIN when prompted. You’ll receive a separate letter containing your Digital Certificate PIN. For instructions on how to change your PIN, visit the e-Conveyancing Community at pexa.com.au/digicertpin
These Digital Certificates are installed and stored on the Certificate holder’s machine. To sign in a PEXA workspace, PEXA will automatically locate the Soft Certificate on the user’s machine and prompt them to enter their unique PIN when signing. If you use a soft token, you’ll receive a CD that contains the User’s Soft Digital Certificate which needs to be inserted into a CD drive to run the Certificate installation process. A separate letter containing your Digital Certificate PIN will be received a day or so later. For instructions on how to change your PIN, visit the e-Conveyancing Community at pexa.com.au/digicertpin
If you have already installed the software required to use a Digital Certificate on your current device, no further set up is needed. You will only need to install software if you would like to sign with your Digital Certificate on a new device. Installation instructions can be found at pexa.com.au/digicert
Your old Digital Certificate will remain valid up until the day of its expiry. Until this date, both your old and new Digital Certificates will be valid. It is your responsibility to destroy the chip within the USB shell of your old Digital Certificate. You should only do this once you have tested that your new Digital Certificate works.
PEXA Projects is new functionality that allows lawyers and conveyancers to manage large scale projects (i.e. multi-lot developments) and efficiently complete the online property exchange process. At no extra cost, PEXA Projects provides additional features including a single project overview dashboard and the ability to complete bulk actions across your PEXA Workspaces. Together with the many benefits of settling online, these help streamline the processes involved in the coordination and execution of settlements.
A demonstration video which explains the benefits of the functionality can be found here. If you'd like someone to come to your office to demonstrate how PEXA Projects works, please contact your PEXA Direct/Virtual Specialist. If you don't have a specialist, email us at firstname.lastname@example.org.
PEXA can assist you with converting your current data exports into structured CSV files for upload to PEXA Projects. For assistance with converting your files into the required format, please email email@example.com.
This post is aimed at practitioners and financial institutions who transact in Western Australia and South Australia and will be affected by the 1 December 2017 change to the way the Discharge of Mortgage lodgement fee is paid.
Over the past four years, conveyancing has digitally transformed. With five states now completing property transactions electronically, industry recognises the importance of national alignment to fully realise the efficiencies that a digital settlement network provides. As a result, the next phase of national alignment will take place in Western Australia and South Australia with an alteration to the Discharge of Mortgage lodgment fee procedure.
In a PEXA settlement, the Incoming Mortgagee will provide the amount for this statutory fee, rather than the Mortgagee on Title or Proprietor on Title. Where there is no Incoming Mortgagee, the Incoming Proprietor will provide the amount.
It is still incumbent upon the seller to provide clear title. The seller must therefore allow a reduction on the balance of purchase monies. All states that complete property transactions online will then be aligned, reducing confusion and improving the digital settlement process for the entire network.
To maintain consistency across all scenarios, industry has decided to replicate this change for paper settlements.
All lenders who have an active presence in Western Australia and/or South Australia are working towards operationalising this change in readiness for the switch-over on 1 December 2017.
The buyer’s representative ensures that the seller’s representative has allowed for the Discharge of Mortgage Fee in the adjustments.
The Lodgement Fee for the Discharge of Mortgage is paid from the pool of source funds (e.g. loan proceeds or purchaser’s equity).
All parties can see the full loan breakdown and destination amounts for stamp duty and Lodgement Fees.
The breakdown to client is supported by the Settlement Completion Record.
This national solution removes the need for additional source line items and confusion when dealing with different banks.
Financial Institutions and their representatives will need to review consumer contracts, processes and systems to ensure they can adequately support the change to existing settlement processes by 1 December 2017.
The Joint Form of General Conditions already confirms that the vendor is obligated to give clear title, which remains the case. The change is in process, not to contractual terms. The process now is to debit the amount from the vendor pre-settlement, rather than have the vendor pay at settlement. Questions regarding the Joint Form of General Conditions should be directed to REIWA and Law Society WA as owners of the document.
If you have any enquiries about this change please reply to this post or e-mail us at: Angella.Chick@pexa.com.au (WA) / Daniel.Roesler@pexa.com.au (SA).
e-Conveyancing represents an exciting frontier for the entire property industry, presenting new opportunities and the potential for innovative work practices. At the same time, e-Conveyancing raises questions about how the traditional understanding of a vendor and a purchaser’s obligations will evolve, in order to adapt to a digital settlement process.
The next phase in the transition to 100% digital is underway in Victoria with conversion of paper certificates of title to electronic certificates of title (eCT). This represents an important component of the e-Conveyancing framework.
The FAQs in this article are based on information produced by Land Victoria in relation to management of electronic certificates of title. The guides can be found here.
a) Blue Bank is the first mortgagee, and b) Red Bank wants to lodge a mortgage to become 2nd mortgagee on title
In SA, QLD and WA, Red Bank could simply open a standalone workspace in the role of Incoming Mortgagee, create and then lodge the second mortgage.
In order for Red Bank to lodge its new mortgage in VIC and NSW:
Red Bank creates a workspace in PEXA (role of Incoming Mortgagee)
Red Bank to invites Blue Bank to the workspace,in the role of Consentor (NSW) or CT Controller (VIC)
Red Bank would prepare its Mortgage document
If in VIC, Blue Bank would lodge a Nomination (Nomination to the PEXA Workspace and Blue Bank will request to retain control of the title)
If in NSW, Blue Bank would create and lodge a Third Party Consent
Red Bank then lodges its Mortgage
In WA, the second (incoming) Mortgagee needs to obtain the paper title from the first mortgagee. Then the second mortgagee can lodge the second mortgage via PEXA – certifying to Landgate that you hold the Duplicate CT and that it will be destroyed/invalidated for future dealings.
If a new Duplicate CT is to be issued, it needs to be advised via the Lodgement Instructions and sent via post back to the first mortgagee.
Lodgement Verification is a service provided by the Land Registry that checks for any errors in a Lodgement Case. The Land Registry will notify the Subscriber of any errors that would prevent Lodgement of the Lodgement Case. A Lodgement Case cannot be lodged until it has passed Lodgement Verification.
Lodgement verification is initiated when documents exist in the workspace, and lodgement instructions are edited and saved.
Re-trigger lodgement verification
From the Actions column, select Edit next to the Lodgement Instructions.
No, you do not need to have a Trust Account to use PEXA. You have a number of options:
If you do have a Trust Account that is integrated with PEXA then you must use this if you wish to contribute source funds to a Financial Settlement.
If you do not have a Trust Account (or have one which is not currently integrated with PEXA) then you have the option to use the PEXA Source Account to provide source funding – read more on this here
You can participate in any PEXA Workspace without a Source Account linked to your Profile. Without a Source Account, you can lodge any document supported by PEXA as a standalone lodgement or participate in a transfer Workspace noting that you will not be able to contribute source funds on behalf of your client.
Note: If you elect to join PEXA without using your Trust Account or registering for the PEXA Source Account, you can always add a source account at a later date.
Select the PEXA Source Account as the source of the funds for the Line Item you have created.
Create a source financial Line Item in your Settlement Schedule.
After creating this item, select the Action Cog for the item and click "Download Deposit Form":
The form includes the following:
Scheduled Settlement Date
Deposit Due Date
Deposit Amount PEXA Account BSB
PEXA Account Number (unique customer deposit account number)
PEXA Transaction ID (please note that this information is critical)
Statement relating to the collection of Personal Information Note: You must provide the PEXA Source Account Deposit Form to the person depositing the money. The funds need to be deposited into the PEXA Source Account via electronic funds transfer (EFT) or real time gross settlement (RTGS) via a Financial Institution. The PEXA transaction ID must be included in EFT/RTGS instructions to enable PEXA to verify availability of funds for the Conveyancing Transaction. You may also transfer funds on behalf of your client from a trust account that is not eligible for PEXA integration.
Funds must be cleared and available in the PEXA Source Account no less than 3 business days prior to scheduled settlement.
PEXA will verify that the funds are available in the PEXA Source Account, once verified your Source line item will move to READY
Your client (or you) must keep a record and evidence of this transfer of funds, including evidence of where the funds were transferred from.
If settlement does not proceed and funds need to be returned, funds can only be returned to the account from which they were transferred (refer to Section 2.4 of the PEXA Service Charter).
In all jurisdictions, except QLD (where all but a few titles are electronic), a paper title may be converted to electronic format as part of the PEXA electronic transaction process. Following conversion, the paper title must be destroyed or marked invalid and securely stored. In New South Wales, the practitioner may be required to ‘Produce’ the title to the land registry and progress the electronic transaction via reference to the title ‘Production Record’ issued by the land registry.
As part of the transaction, the participant who will receive Control of Right to Deal (CoRD) over the title following the transaction (this will be the Incoming Mortgagee or if the title is to be unencumbered, the Incoming Proprietor) may specify whether the title is to be issued in electronic or paper format.
In WA, an electronic title cannot be issued in paper format following a PEXA transaction.
In NSW, only ADIs may hold CoRD for an electronic certificate of title. All other PEXA Members not eligible to receive CoRD must receive a paper duplicate certificate of title.
All participants must be PEXA Members to perform an online property transaction. If a participant initiating an electronic transaction finds that another participant is not yet a member, then the initiating participant may submit a request to PEXA to contact the non-member and initiate the registration process.
You can identify when there is no paper certificate of title (no CT) by conducting a title search. The folio section on the register clearly identifies that there is no certificate of title. Instead, an electronic Control of the Right to Deal (CORD) record is recorded. This is known as eCT.
In NSW, eCT may only be held by an APRA regulated Financial Institution. A Request for CoRD Holder Consent eForm should be completed and provided by the vendor’s representative to the financial institution.
The CoRD holder (eg. the Vendor’s bank) will complete and lodge a Consent in PEXA relinquishing CoRD upon registration of the settlement dealing. This is the electronic equivalent of bringing a paper title to settlement.
This means you no longer need a certificate of title to be issued for a manual settlement. You can conduct another title search and check that all dealings now appear. This is your guarantee that the property transaction can proceed just as it would with a paper title.
You are now ready to attend settlement. Although it is not necessary, you are able to print the title search showing completion of all dealings and take it to settlement.
Electronic certificates of title (eCT) will be easily identified in the Administrative Notices section on a title search. This will also identify who holds eCT Control.
In Victoria eCT Control may be held by any PEXA Subscriber. The eCT Controller (eg. the Vendor’s Bank or if unencumbered, the Vendor’s representative) will complete and lodge a Nomination in PEXA, relinquishing eCT Control upon registration of the settlement dealing. This is the electronic equivalent of bringing a paper title to settlement.
This means you no longer need a paper certificate of title at a manual settlement. A title search/final search will confirm the Nomination has been registered, along with its dealing number. This is your guarantee that the property transaction can proceed just as it would with a paper title.
You are now ready to attend settlement. Although it is not necessary, you are able to print the title search/final search showing completion of all dealings and take it to settlement.
Sponsors, also known as information brokers or conveyancing software providers, will integrate PEXA with their existing product offerings, providing an end-to-end solution to property lawyers and conveyancers.
Once completed, integration will allow documents to be pre-populated, removing the need to key information twice.