Reservation fees + IBAN safety - the Madeira buyer's defence playbook

1. Understand what a reservation fee actually is

A reservation fee (“sinal de reserva” or “taxa de reserva”) is a non-statutory, agency-practice instrument. It takes the property off the market for a window set in the agreement while the buyer completes due diligence and prepares for a CPCV. It is not the same as a CPCV sinal (the deposit paid at promissory-contract signing, which the Civil Code regulates in articles 440 to 442).

Because there is no statutory framework, the reservation fee lives or dies on what is written in the reservation agreement. No written agreement → no claim.

2. Never pay a reservation fee without a written reservation agreement

The written agreement must specify at minimum:

• The exact property being reserved (address, matriz number, article number, parish).
• The amount being paid and the IBAN receiving it.
• The reservation period (start and end dates).
• The conditions under which the reservation fee is refunded.
• The conditions under which the reservation fee is credited toward the CPCV sinal.
• The conditions under which the fee is forfeited.
• Governing law (Portuguese) and jurisdiction (Madeira regional courts).

3. Cross-check the IBAN

A fake or intercepted IBAN is a known attack. Before you transfer:

• Verify the IBAN belongs to the seller or the agency's registered company - not a personal account with no documented relationship to the transaction.
• Call the agency's main office line (not the agent's personal mobile) to confirm the IBAN.
• Ask your property lawyer to confirm the IBAN belongs to the entity you are transacting with.
• Use a bank transfer with a clear reference citing the property and the reservation agreement - never crypto, never cash, never a personal PayPal.

4. Verify the agency's AMI licence

Portuguese real-estate brokers must hold an AMI licence issued by IMPIC. Check it on the IMPIC portal. An agency without a current AMI licence cannot lawfully intermediate a property sale in Portugal.

• AMI licence number must be visible on the agency's invoices and website.
• If the agent is an individual operating outside an AMI-licensed company, walk away.

5. What to do if a reservation fee is not returned

Escalation ladder:

1. Formal demand letter from your lawyer, citing the reservation agreement and the breach. 10-day deadline.
2. Complaint to IMPIC - the sector regulator can fine an agency and ban it from the activity (Lei 15/2013, art. 32.º).
3. Mediation via the Ordem dos Advogados - if the agency's own lawyer is involved.
4. Civil action in the Madeira courts. Ask your lawyer for an estimate of time and cost before you start.

A formal demand letter from a Portuguese advogado on letterhead carries more weight than an email from you.

6. Better: skip the reservation fee entirely

If the agency is willing, go straight to a CPCV with a sinal agreed with your lawyer. That is safer legally: the Civil Code protects a sinal, and if the seller walks away you can claim double (art. 442.º). Treat an agency that will not negotiate the reservation-fee structure with extra caution.