Woooosh
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Is this new bank rule the root of our current Baja bank dollar problems?
http://news.bbc.co.uk/2/hi/world/latin_america/10324861.stm
Mexico has imposed limits on the use of US dollars in an attempt to limit money-laundering by drug traffickers. Mexicans who don't have bank accounts
will be able to exchange only up to $1,500 (£1,000) a month. Those with accounts could change a maximum of $4,000.
The Mexican treasury estimates that $10bn of laundered money enters the country's banking system each year, fuelling drug-related violence.
"This measure is consistent with a strategy of fighting not just drug trafficking but also organised crime," said Treasury Secretary Ernesto Cordero.
"We have to close the way to dollars from sources that may be illegal."
The new law applies to currency exchange and cash deposits, but no limits will be placed on the purchase of dollars.
Businesses that work in tourism or close to the US border will be able to deposit up to $7,000 a month.
The illegal flow of billions of dollars from the US is fuelling Mexico's escalating drugs war, the government says."
[Edited on 6-16-2010 by Woooosh]
\"The only thing necessary for the triumph of evil is for good men to do nothing\"
1961- JFK to Canadian parliament (Edmund Burke)
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irenemm
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That does not say in Cash. As it was only in electronic transfer or checks.
will have to check and see it they changed it. It never made since to us. We are a tourist business.
oops read it again and it says cash deposits. will check it out at HSBC.
thanks for the information
Irene
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Riom
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Looking at the story in the Mexican press, it seems this is new and the full rules will be published in the Official Journal tomorrow (16th). There
will be a 90 day transition period before it comes into force: http://www.milenio.com/node/465794
In addition to what the BBC story said, there will be a limit of $1500 in cash that "foreign visitors" can exchange into pesos per month (and no more
than $300 in a day).
Buying and selling of dollars other than cash will still have no restrictions, and no limits on buying cash dollars.
Rob
Update: here's the new regulations in full (in Spanish):
http://www.dof.gob.mx/nota_detalle.php?codigo=5146921&fe...
[Edited on 2010-6-16 by Riom]
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Bajatripper
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I remember not so long ago I could go into the local branch of Bancomer and change dollars without any problem. But when we were changing dollars to
pay for a remodel recently, the bank insisted that I have an account with them before they would change any money for me. My wife, who is Mexican,
experienced the same thing. Ironically, I could walk across the parking lot to the CCC (on Colima) and change the dollars without hitting any limit up
to $1000 (never tried more). Sometimes, they even beat the bank rate by as much as 25 centavos on the dollar.
The new owners of CCC probably won't have that much need to generate dollars to pay for their shopping over the border, so that may not be an option
much longer.
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tjBill
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| Quote: | Originally posted by Woooosh
The Mexican treasury estimates that $10bn of laundered money enters the country's banking system each year, fuelling drug-related violence.
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Its probably a PR move to make it look like the government is doing something to stop money laundering. Doesn't seem practical for the government to
stop 10 billion dollars from entering Mexico.
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schwlind
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I hear from our caretaker that Banamex is also charging a tax (VAT???) for any deposits that exceed "x" pesos per month. I don't recall the "x"
amount, but bringing money to him for some construction work, which he tried to deposit into our Banamex account, is what prompted him to let us know.
He therefore, could only deposit so much money per month to avoid the tax... Strange... You'd think Mexico would encourage foreign deposits into
the banks... expecially since their requirements for opening an account are much more stringent than in the US.... and quite honestly, does anyone
really believe all these rules and regulations have any effect on the bad guys??? NOT!
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desertcpl
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posted today on San Felipe web site
On another matter, however, the Mexican government is moving swiftly. Regulations go into effect next Monday to restrict excessive cash dealing in US
dollars. The government has found that there is $10-25 billion dollars circulating in the economy that cannot be accounted for by normal commerce. It
is presumed that the bulk of this cash is from money laundering. It is unlikely that the regulations will affect any Americans living in San Felipe;
people with accounts at a local bank will be able to deposit up to $4000 dollars in cash monthly. Those without accounts will be able to change
$300/day or $1500/month into pesos. Separate categories will be established for businesses, particularly if tourist-related, and those amounts will be
much higher. Note that electronic transfers and normal commercial paper transactions are not affected by these new regulations. The target is cash
transactions.
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Hook
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I'm confused. Isn't this supposed new regulation an actual lightening of restrictions on changing dollars into pesos at bank?
Many over here and in Baja have reported that the banks recently began refusing to change dollars into pesos if you dont have an account. Supposedly,
this was due to a new Federal law.
Now you can, up to 300/day?
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toneart
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Bancomer stopped taking U.S. dollars to non customers this last winter.
I thought it was just a bank policy, unrelated to any government restriction. There were too many gringos in line trying to convert dollars to
pesos(in Mulege), who were not customers, including myself, who clogged the lines and slowed everything down for their customers. I can understand
this.
I don't know what other banks policies were in this regard.
New restrictions that attempt to curtail money laundering is going on around the world now. True, it may hurt Mexico, but anything to cut off the
underground flow is probably a good thing.
What is bad, is that it is like squeezing a balloon. If you tighten up in one area, where will it bulge in another?
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Bajatripper
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| Quote: | Originally posted by schwlind
I hear from our caretaker that Banamex is also charging a tax (VAT???) for any deposits that exceed "x" pesos per month.
This tax was instituted about 18 months ago. We had just gotten started on the remodeling project and were involved in some dollar/peso transactions
when it went into effect. At the time, the lead lady at the bank was able to fenegle the system (without any prompting by us, as a foreigner, I'm
careful about paying such obligations) and we didn't have to pay it. Since then, it hasn't mattered to us (no more dollars)so I've lost track on how
it was implemented.
What I do seem to remember from reading the notices on the bank walls, was it seemed like it was nothing more than a way to gain legitimacy for
illicit money. The wording could have been interpreted as "just let us take our cut, and then you can go spend your money." But I'm sure I must be
mistaken. The upper dollar limits would make this a tedious number of transactions to be effective on a large scale. Still, when you have lots of
runners under your employment ...(especially those guys from the interior, I hear they work cheaper).
I've always wondered how the "change windows," which require no documentation to change dollars, fit into the scheme of things (banks want some sort
of official doc.--preferably a passport for foreigners--and the CCC required that you provide them a copy of such a doc.). I don't know what their
upper limits are, but I once stood in line behind a young man in Ensenada who changed some 9,000 dollars into pesos. What I remember most about the
encounter was that, when the dollar buyer informed the seller that his count was off by $600 dollars (less, of course), the seller was totally
unconcerned and proceeded with the transaction anyway.
Steve
Oopps, now how in the heck did I do that? (put it within the quote box). Oh well, there it stands.
[Edited on 6-17-2010 by Bajatripper] |
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monoloco
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| Quote: | Originally posted by schwlind
I hear from our caretaker that Banamex is also charging a tax (VAT???) for any deposits that exceed "x" pesos per month. I don't recall the "x"
amount, but bringing money to him for some construction work, which he tried to deposit into our Banamex account, is what prompted him to let us know.
He therefore, could only deposit so much money per month to avoid the tax... Strange... You'd think Mexico would encourage foreign deposits into
the banks... expecially since their requirements for opening an account are much more stringent than in the US.... and quite honestly, does anyone
really believe all these rules and regulations have any effect on the bad guys??? NOT! |
The tax only
applies to cash deposits over 15000 pesos per month. You can avoid the 2% tax by using bank transfers or travelers checks.
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Juanita
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Two weeks ago in Loreto,BCS, Bancomer would not exchange any dollars or lunys for pesos, but they would exchange euros. They would not accept my
(under $15,000 pesos value) deposit of dollars, saying my account was a business account and they could only accept it to a personal account. I have
been making such deposits monthly at my home bank in Santa Rosalia and it will be interesting to see if that will still work. When I mistakenly
deposit too much, I later receive a detailed letter explaining the tax on the over $15,000 amount. The limit of $15,000 pesos is too low for
businesses, which are required to pay their taxes directly from their accounts. My business is very small, but I don't know how large businesses
cope. Juanita
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Woooosh
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| Quote: | Originally posted by monoloco
| Quote: | Originally posted by schwlind
I hear from our caretaker that Banamex is also charging a tax (VAT???) for any deposits that exceed "x" pesos per month. I don't recall the "x"
amount, but bringing money to him for some construction work, which he tried to deposit into our Banamex account, is what prompted him to let us know.
He therefore, could only deposit so much money per month to avoid the tax... Strange... You'd think Mexico would encourage foreign deposits into
the banks... expecially since their requirements for opening an account are much more stringent than in the US.... and quite honestly, does anyone
really believe all these rules and regulations have any effect on the bad guys??? NOT! |
The tax only
applies to cash deposits over 15000 pesos per month. You can avoid the 2% tax by using bank transfers or travelers checks. |
I was charged the tax on the overage on a wire transfer from BA to Scotiabank a few months ago. They told us to make smaller transfers to avoid it.
So basically they are saying "live on less than $1500 US or we'll tax your living expense money" ??? I can see if someone actually financed a housing
unit in Baja where they could need more than that amount every month.
[Edited on 6-18-2010 by Woooosh]
\"The only thing necessary for the triumph of evil is for good men to do nothing\"
1961- JFK to Canadian parliament (Edmund Burke)
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irenemm
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Semi Large business us more cash. We are taxed for everything. So you pay for more things in cash. It is against the law too. But less taxes.
All the business do it.
So I hear.
Bank transfers no tax but the transfer fee.
Travelers check still another fee.
CASH
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