Electronic Conveyancing (EC) first launched in 2007 as a world-first online settlement and lodgement system designed by the Victorian Government in collaboration with the conveyancing industry. EC eliminates the need for paper-based settlements, drawing cheques, meeting to exchange documents on settlement day and manually lodging Instruments at Land Victoria (LV).

In the EC system, clients can engage the services of a registered subscriber such as conveyancers, financial institutions, solicitors, and government bodies to act on their behalf in their property transactions. The subscriber uses the online EC system to settle property transactions such as sales, purchases, general conveyancing lodgements of Transfers, Caveats, Mortgages, Application by Legal Representatives, Withdrawals of Caveats and Discharges of Mortgage. Payment of stamp duty and registration fees to the State Revenue Office and Titles Office will also be done electronically. The lodgement of all paperwork is efficiently processed electronically from the subscribers’ own computer system within their office.

PEXA to lead the way from June 2014

It has recently been announced by LV and PEXA that from June 2014 all electronic transactions will be processed in the PEXA system and the ECV system will be closed.

SAI Global Settlement Room

PEXA supports SAI Global with their recent introduction of the Settlement Room to commence across Australia midyear 2014. The Settlement Room will create what SAI call a “Transaction Workspace” where all parties at settlement (conveyancers/mortgagees) can network online to share and agree on information pertaining to their transaction, prior to physical settlement. Parties can confirm information regarding payout figures, settlement funds available and cheque directions which will significantly increase the likelihood of settlements occurring in the first instance.

Benefits and meaning of electronic conveyancing for the client

Clients using a conveyancer registered for EC will simply need to have their signatures digitally authenticated which is easily done at Australia Post. See the following link to Australia Post for further details on the process and security of doing so.

Benefits foreseen:

  • Parties dealing with property transactions via EC will reduce costs minimising fees then disbursed to clients
  • Estimated savings of $235-$395 per typical four party settlement
  • Lower statutory fees than those charged under the paper system
  • Improved housing affordability
  • Removal of physical settlement and manual lodgement processes, a simplified process
  • Substitution of bank cheques with multi-lateral electronic funds transfers saving on bank cheque fees
  • Elimination of most paper documents and associated red tape
  • Greater certainty – reduced incidence of delayed and failed property settlements due to lost or incorrect documentation

EC is designed with the highest security in place and we are assured it is as safe as the existing paper-based conveyancing and lodgement system, which will continue to operate alongside EC for those who wish to continue paper transactions.

Not all conveyancers are moving forward with electronic conveyancing, however here at Ballarat & District Mobile Conveyancing we are proud in staying ahead in the conveyancing world and are registered subscribers. We support the move to EC and believe it can only have a successful outcome; a smoother more successful transaction for all parties involved.