Getting a large sum of money into Cuba

Say, for example, one was going to purchase a home in Cuba ( I know the rules, the risks, must have it in a Cuban's name, etc), how would one get a sum of money over $10,000 into Cuba? Or say, for example, one had a Canadian credit card with say, a $50,000 limit, could one simply put that cash in the credit card account and withdraw it at a bank in Cuba? How does one pay to purchase a property in Cuba? In cash? I gather certified cheques don't exist there.

I'm just picturing withdrawing $50,000 in a bank in Cuba... :-)
Apart from bringing it in on your person (and declaring it), what about a bank transfer to a Cuban bank account?

Don't Canadian banks flag you guys if you start taking out large sums of money from the bank?

Bank Transfer. There is a good chance that the Cuban receiver will be asked why they received a large transfer from a foreign country. I am not sure of any implications of this but it won't go un-noticed.

I guess that one could load up the credit card with a large surplus and withdraw a few times from that but make sure the credit card company is aware beforehand of the withdrawal transactions that are intended. You wouldn't want your credit card frozen in mid process.

Debit or credit card is the obvious method. Most have a daily limit so you would need to check with the bank and given the large amount in total as per Cubanwaters inform the bank of where these withdrawals will take place.
I've certainly had no problem withdrawing 1000 CUC from a Cuban bank using my Debit card.

Of course, one of the reasons that property transactions tended to be in cash was because they did not want to declare the amounts involved. Is that still the case ? Or have things relaxed there ?

I would think that multiple withdrawals on a card might be as noticed as bank transfer.

As a foreigner you can carry an unlimited amount of currency on your person. Anything over $5000 just has to be declared.

First define large amount. For me 10k is not that much cash. You could send it bank wire or other methods you all have there in Canada. I carry or use WU and send it in multiple transaction.. I guess if you could send the money to different family members not to call attention but 10k isn't hat much. As Beardo says they don't want to disclose the actual sell price for obvious reasons.

There are larger sums of money than 10k sent to Cubans without implications from officials but then pueblo pequena inferno grande. Hence multiple transactions and different persons.
If you need a short term loan I,ve got that there. jeje.

In the US any withdrawals of $10,000 USD or more require banks to report that activity to the federal government,IRS/Treasury to monitor and prevent money laundering,among other things,also known as the the Patriot Act post 9/11 and the Bank Secrecy Act of 1970/ Currency and Foreign Transactions Reporting Act.

Yanki, I sure Canada as the US looks into cash transactions. If you are staying within the lines then well there isn't a problem. 10k isn't very much money. I deal with cash transactions frequently, in the six figure digits, for many years. I'm not one of the bad guys so never had problems and doubt I will. As I said I stay with in the lines.

As an aside, apparently, UK airports have sniffer dogs that detect cash and if you are found with more than £1000 on you, you can be asked to prove where it's from. Only heard about that a few years ago.

That's not true.
There are no restrictions if arriving from or travelling to another EU Member State and if arriving directly from or travelling to anywhere else, you only need to declare if carrying more than EUR 10,000.- or equivalent.

I'm not talking about restrictions entering, I'm talking about additional security checks you may be subjected to. Check out the "Proceeds of Crime Act 2002" which concerns people exiting the country with over £1000 cash.

Large sum = $50,000

What is being referred to is called FINTRAC. Virtually every country in the world is part of that system. I work for an international financial services company.

In Cuba, a house cannot be purchased in cash. The money had to exist in a bank account. There are specific notaries that only do house transactions. You have to go through them. You don't have a choice. They take care of the paperwork, including the transfer of the payment which is in the forum of a cheque issued by a Cuban bank. They also collect the tax on the transaction.

The notaries are quite busy these days. Getting an appointment could take up to 2 months in places like Havana, for example.

How you get the money into Cuba is a separate issue but it does have to, eventually, end up in a Cuban bank account.

Though surely that is the official payment and any unofficial part would have to be cash ?

Of course.... Everybody hates to pay taxes, no one more than Cubans...lol

Yes, you can sell a house for $50k... The seller and buyer agree to, officially, do the transaction at $30k, the difference being transferred privately. Everyone pays less taxes. Still need the $30k in a bank account.

The government, though, has not been idle on these tricks. Houses now get assessed for value, much like here for purposes of annual property taxes. I have seen some evaluation rolls. I do admit that the government hasn't gone heavy handed with the assessments but it still puts a 'bottom' to what you will pay in transfer taxes, regardless of the stated selling price.

Hey.....I have entered Cuba several times with between $7000 and $10,000 canadian on several occasions and no
body ever asked me how much I had. Cash hand to hand is always the cheapest as far as taxes and commissions go.
Another way is get yourself a CIBC Visa debit card, front load it with whatever you want, then withdraw it from any ATM or inside the .bank at the teller as you need it.......that way you don't have to carry the cash with you while travelling.

The only thing to consider is, if they ever check you and find that amount of cash, undeclared, are you prepared to lose it ?

Don't Canadian banks flag you guys if you start taking out large sums of money from the bank?

So what? If it's your money your entitled to take it out. If they want to check whether it's due to illegal activities that's fine too. At least provided it is meant for legal transactions. Buying a house seems pretty legal too me,though paying in cash sounds dodgy. I don't know Cuban law, so don't know about foreign ownership or loopholes to get around restrictions.

As far as I know loads of such flags are raised without any issue's, it's just a formality unless of course something dodgy turns up.

Thanks, Greslogo. I knew about the notaries, not about the cash part.

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