Registration and Bidding FAQs
How To Register and Bid
If you just want to observe the auction and follow the bidding there is no need to register. Simply open the auction catalogue from 10 am on auction day, the “Log in – register to bid” screen converts to a bidding pane where you can follow the auction until the lot closes at the scheduled time.
PC USERS
From the home page click ‘Next Auction’.
Next click the lot you are interested in and a widget box appears on the right hand side of the catalogue entry.
Click ‘Log in/register to bid. This takes you through the registration process to bid for the property.
MOBILE PHONE USERS
From the home page click ‘Next Auction’.
Next click the lot you are interested then click the ‘bid now’ blue circle.
Click ‘Log in/register to bid’. This takes you through the registration process to bid for the property.
IMPORTANT NOTICE
Register to bid in plenty of time, we recommend NO LATER than 24 hours prior to the start of auction.
Authorisation to bid is delayed when unacceptable ID and proof of funds are submitted. Those registering on the day of auction may lose out.
ONCE YOU ARE REGISTERED, WE’LL CHECK YOUR DOCUMENTS
You will be sent an activation link via email. Once you’ve created an account you can ‘watch’ lots that you’re interested in (you’ll be kept up-to-date throughout the auction cycle) and access legal packs.
In order to place a bid you must complete the bidder registration steps detailed below.
Please note, when you register to bid you will be asked to verify a mobile number and upload copies of your photo ID (e.g. driver’s licence or passport), proof of address and the source of your purchase funds (equivalent to the guide price of the lot you intend to bid for).
You will be asked to read and accept our Online Auction ‘Terms and Conditions’. Additionally, there may be specific documentation relating to the sale of the property you’re registering to bid on that will need to be read and accepted before you are able to bid.
In order to bid, you must upload a proof of address document and a proof of identity document so that we can check that you are who you say you are.
Acceptable document formats include:
- A photo of your original document. Please ensure that all text is legible.
- A high quality scanned image of your original document.
- A PDF (e.g. a downloaded utility bill)
If you can’t provide these documents then please call us on 020 7871 0420.
HMRC require us to verify how bidders intend to pay for a lot. We’ll need to understand how you’re funding the purchase and see accompanying documentary evidence. Our system will ask you to choose from a drop-down list of funding scenarios and prompt you to upload supporting documents.
For the avoidance of doubt, supporting documents must show available funds equivalent to the guide price of the lot.
If you have questions about providing evidence of source of funds please call us on 020 7871 0420.
Before registering a payment card, we recommend you check we have approved your ID and source of funds documents.
In order to bid online you must register a credit or debit card for the bidder security deposit of £5000. Sagepay provide a secure, online card registration facility and will place a hold on funds for the bidder security amount, your account is not debited at this stage.
The bidder security deposit includes the auctioneer’s buyer administration fee of £1,500 + VAT, the balance of £3,500 goes towards the 10% purchase deposit. If you purchase a property where the 10% deposit is less than £3,500, we will refund the balance by bank transfer. If the 10% deposit is greater than £3500 you must pay the balance by bank transfer within 24 hours of the point of sale, we will provide account details and a reference for the transfer.
On the fall of the gavel, the winning bidder’s card is debited £5000, all unsuccessful bidder’s cards have the hold on funds released.
For more information about this process read the detailed explanation at the end of this document.
Once you have completed the bidder registration steps, Network Auctions will review, this is a manual process undertaken by our staff. We may contact you to obtain additional information so that we can electronically verify your identity with a credit reference agency – this leaves a ‘soft footprint’ and doesn’t affect your credit score. You will be notified by email as soon as you have been approved to bid.
Further Information
In general terms, you are strongly advised to view the property and take professional advice as to its condition and suitability. You should also ensure that you thoroughly read and understand the legal pack and any other associated documentation available online, and take proper legal advice accordingly. Finally, understand the contract you are entering into and the financial commitment that you will be liable for should you be the successful purchaser.
Incremental Bids
Place bids at the next increment or using a multiple of those increments using the bid increase (+) and decrease (–) buttons. When you place a bid, you will be shown if it’s the highest bid, if the reserve has been met and when you are outbid.
Maximum Bids (known as proxy bids)
If staying for the duration of the auction isn’t an option, by setting a maximum bid the system automatically bids for you to maintain your position as the highest bidder, up to your maximum bid and at the lowest price possible.
If the bidding exceeds your maximum amount, you will be notified by email and can opt to increase your maximum bid.
Reserve Prices
Every lot is subject to a reserve price (the minimum the lot can be sold for on the day). When you submit a maximum bid, the actual bid placed by the system will depend on whether the reserve price has been met, as defined below.
If your maximum bid is below the reserve price
The system will immediately place your maximum bid and tell you the reserve has not been met.
If your maximum bid is at or above the reserve price
The system will place your bid to be at the reserve, and will only bid again on your behalf if you are outbid by another bidder (up to your maximum bid amount).
If another bidder previously placed the same / higher maximum bid as you, they will be the highest bidder and the system will notify you via email so you can opt to place another bid.
NB: Maximum bids are confidential. The auctioneers and competing bidders do not know when maximum bids have been placed and for how much.
Bidding example:
1. The current bid is £90,000. The reserve price is £100,000 (not disclosed).
2. Tom wants to bid. The next bid increment is £91,000 but Tom decides to place a maximum bid of £97,000. This is below the reserve price, so the system places a bid for Tom at his maximum bid amount and he becomes the highest bidder at £97,000.
3. Jane logs on to bid. The next bid increment is £98,000 but Jane places a maximum bid of £105,000. The system automatically increases Jane’s bid to meet the reserve and she is now the highest bidder at £100,000.
4. Tom is notified that he has been outbid. If no further bids are placed Jane would win the lot for £100,000.
5. If Tom then placed a maximum bid of £105,000, the bidding would jump to £105,000 and the bid would be with Jane as she bid that amount first.
The bidding extension window ensures all bidders have an equal opportunity to bid.
The auction will close at the scheduled time. However, if a bid is placed during the last 30 seconds, the auction countdown clock extends by an additional 30 seconds – known as the ‘bidding extension window’.
If a bid is placed in the ‘bidding extension window’, the clock resets to a 30 second countdown and the auction will only close when an entire 30 second bidding extension window expires, i.e. 30 seconds of ‘bidding silence’.
Bidding at the last moment – does it work?
There is no advantage in leaving your bid until the last few seconds. Doing so initiates a bidding extension window ensuring all bidders have the opportunity to place another bid.
Waiting for the clock to run down to the last second means your bid might not be received by the platform server until after the closing time and therefore not being registered.
Legal position if you win the auction
The sale is unconditional and legally binding. The fall of the electronic gavel constitutes an exchange of contracts between buyer and seller. Both parties are legally bound to complete the transaction – usually within 20 business days following the close of the auction, check the special conditions attached to the legal pack for confirmation.
If you are the successful purchaser, we’ll be in touch following the auction to discuss the next steps. The system will take the bidder security amount from your registered payment card, the contract will then be signed on your behalf with copies being sent to both your solicitor and the seller’s solicitor.
FOR MORE INFORMATION CONTACT NETWORK AUCTIONS ON 020 7871 0420
In order to bid online you are required to submit details of a credit or debit card. When you register your card, we will be placing a hold on funds on your credit card (or bank account if you use a debit card), to the value of the bidder security deposit (£5,000). This means that the amount we’re holding will affect the available amount you have to spend on your card, as the amount will be ring-fenced and you will not be able to spend it until the hold has been released.
If you are the winning bidder £5000 will be debited from your registered payment card immediately at the close of the auction. If you are not a winning bidder the hold on funds will be released from your card, but be aware that it can take anything from a few hours up to several days for the hold to be released (dependent on the card issuer) and funds showing in your account. If in doubt, contact your card issuer. Please be aware that you will not have access to the funds until the hold has been released.
Please see two example payment registrations below:
Scenario 1: Tom has a credit card with an overall limit of £15,000, and a current available balance of £14,500
• Tom registers to bid for an auction lot, a bidder security deposit of £5,000 applies.
• Tom registers his credit card – a hold on funds is placed on the card to the value of £5,000
• The available balance to spend on the card is now £9,500
• Tom goes out shopping and buys a new laptop for £1,500
• The available balance on Tom’s card is now £8,000
• Tom bids in the auction but doesn’t win. The auction closes and the system automatically instructs SagePay to immediately release the hold on funds from Tom’s card
• The available balance on Tom’s card will revert to £13,000 once the card supplier confirms ‘release’ has taken place
Scenario 2: Jane has a debit card for a bank account with a current balance of £5,250
• Jane registers to bid for an auction lot, a bidder security deposit of £5,000 applies.
• Jane registers her debit card – a hold on funds is placed on Jane’s bank account, to the value of £5,000
• The available balance in Jane’s bank account is now only £250
• Jane goes shopping and buys a new mobile phone for £300, pushing her £50 into an overdraft
• Jane bids on the online auction and wins the auction. The auction closes and £5,000 is immediately taken from her bank account
• Jane remains £50 overdrawn