Transfering millions of dollars

[dan1984]

My experience in transferring money from China to the US over the past week.

 

In going to my Bank of China, they told me I could obtain USD500 each day from RMB conversions. Over the course of 2 days, I converted USD1000, and told the lady at the service counter I wanted to transfer this USD1000 to my US Bank Account.

 

She said, okay, no problem, but if you do this all online, you can say 20% on the service fee the bank charges.

 

Alright. So, I kept the converted USD cash I already had and went home and converted online and electronically an additional USD1000, never having the USD leave my account - which was their requirement for obtaining the 20% discount.

 

I successfully converted the USD1000 online, but in attempting to use the Bank of China's online form to send my money to America, I encountered problems.

 

In returning to the bank the following day, I asked a service woman to help me and walk me through the steps right on sight at the bank. Well, apparently they couldn't figure it either.

 

I asked how much it would cost to transfer the money to the US directly at the counter, and not using their online system, and she replied RMB200 (no matter how much you are transferring, a flat RMB200 fee - apparently, and at least according to the service woman helping me).

 

In deciding I could accept that, we went through all the procedures, and my money was off. They said it would take 3-7 days for the money to reach my US bank account.

 

Just one day later, today, however, the money reached my account, with USD15 taken out by Wells Fargo for their fee.

 

All in all, I transferred (USD1200 to the US from China) minus (USD32 Bank of China fee) minus (USD15 Wells Fargo fee) = (USD1153 to my Wells Fargo account).

 

USD47 to transfer USD1200 from China to the US.

 

Any feedback for if this USD47 was worth it, or if there is a cheaper way???

 

Thanks!

 

dan in Beijing

[tsap seui]

Dan, the amount you're talking about would cost $14 sent from America on Western Union. My wife's ex sends his son money from time to time and he uses Western Union to send it to us here, just as when I was sending "million's...or was it "billions" to China to buy our home over there, I imagine it's the same price to send it from China to the states. We still send money to ma and ba on Western Union from time to time.....too easy, and very cheap. No international bank crap to fool with, for dummies like me.

 

Google Western Union, or use baidou, or whatever google engine it is in China, W/U will tell you their rate is. My wife's ex walks into a China Post (where the Western Union is) in his city and makes the transaction, calls Wenyan up, and we go collect the loot at our Western Union.

 

Could be that it is more money when sent from Chiner, than when sending to Chiner from the states I just don't know.

 

tsap seui

[dan1984]

Okay, thanks Tsap! Next time it looks like it'll be the Western Union method.......live and learn~~~ thanks!

[tsap seui]

W/U isn't the only way, and I certainly haven't studied anything else as W/U was simple, and cheap enough....and the fact that I need dumbed down, easy technology...W/U fit our needs and was too easy, and idiot proof.

 

To me, just the words "international transfer" has too many dang letters in it. Sounds like trouble from the git go. Western Union takes me back to simple times...a man and his trusty, fleet of foot hoss.

 

tsap seui

 

I have recently advised my wife and son to not dare give up their Chinese passports and citizenship

[canrun]

Sorry to bring up an old thread. The misses and I are planning on buying an apartment for her folks in China, and I need to start thinking as to how best to get the money there. I'll need to transfer $45K to finalize the purchase.

 

Just so I'm clear from this thread:

 

A. I can transfer 50K per year, right? If so, I'm still under that cap limit

B. Is there a limit on how much can be sent per transfer? Meaning, can I send the 45K all at once, and save myself the drip drip of fees that multiple transfers would require? I'll be using BofA, and have sent a number of transfers before with them, just not with this much money involved--by far.

C. Would it be wise to send this amount in dollars or exchange to RMB? Currency issues make my eyes glaze over...

 

Thanks for any advice!

-Aaron

Edited January 21, 2013 by canrun (see edit history)

[credzba]

A. You can transfer ANY amount of US$, but in China each person can only convert $50,000 to RMB each year. For example, you transfer 200,000 US$ you and your wife could convert 100,000, her mom another 50,000, a stranger on the street another 50,000 .. etc.

 

 

B. You can transfer as much as you want in 1 transaction. The bank may have a limit, but I've never hit it.

 

C. When I checked, the conversion rate was always better in China than in USA, so sending it in US$ and converting it yourself in China (with limits listed in A. above) will save you money. If you convert it to RMB before sending it you don't have to worry about the $50,000 limit, but that would be a waste of money. I have never converted stateside.

[Randy W]

BofA is EXPENSIVE and has hoops to jump through whenever you send over $10,000 (it may be someone like requiring a verification through your cell phone, - which I can't do from here - or something). I have a BofA account that I use for the ATM card here in China, but when wiring money I first send the money to my stock broker and wire from there for a $10 fee. Don't know if you'll want to bother, but you might shop around.

[warpedbored]

Cash transactions of 10K or more must be reported to the US government. There are no restriction I know of.

[tsap seui]

Cash transactions of 10K or more must be reported to the US government. There are no restriction I know of.

 

Carl is right, and that transaction restriction is for any 24 hour period. If you did a $9,500 transaction one day at 2pm and then another of the same amount at 1pm you are over the limit and the bank must report it.

 

Then again, that is if you are taking money out of your bank and sending just below Western Union's $7,500 limit in a 24 hour period. Just like I did for my wife's house back in early 2008, and will do a few times more in four months.

 

tsap seui

[canrun]

Thanks for the replies! Just so I'm clear:

 

"If you convert it to RMB before sending it you don't have to worry about the $50,000 limit, but that would be a waste of money. I have never converted stateside."

 

So, when they ask me if I want to convert it into RMB here, I should decline and just send it in dollars, right?

 

As for BofA, I'm not lucky enough to have a stock broker.

 

And also, how does one report the transaction? The bank does this for the customer, no?

Edited January 22, 2013 by canrun (see edit history)

[credzba]

Thanks for the replies! Just so I'm clear:

 

"If you convert it to RMB before sending it you don't have to worry about the $50,000 limit, but that would be a waste of money. I have never converted stateside."

 

So, when they ask me if I want to convert it into RMB here, I should decline and just send it in dollars, right?

 

As for BofA, I'm not lucky enough to have a stock broker.

 

And also, how does one report the transaction? The bank does this for the customer, no?

So long as you can convert it in China, yes I'd advise to send it as US$ .. check the exchange rates and make that decision yourself.

 

Schwab will let you open an account, just like any bank. The poster's suggestion is look around for transfer rates and you can save money.

 

The banks do all the reporting, no requirement on your part.

[dnoblett]

Do not worry about the $10,000 reporting limit, it has to do with money laundering, also even if you do play the game of sending less than 10K and sending more a week or so later, they can catch this and perhaps question your motives.

 

The other limit of 50K per year, I believe has to do with cash flowing out of China, not into China.

[credzba]

Do not worry about the $10,000 reporting limit, it has to do with money laundering, also even if you do play the game of sending less than 10K and sending more a week or so later, they can catch this and perhaps question your motives.

 

The other limit of 50K per year, I believe has to do with cash flowing out of China, not into China.

My wife and I hit the 50k limit converting US$ to RMB, but that was 5 years ago, so maybe has changed.

[tsap seui]

Do not worry about the $10,000 reporting limit, it has to do with money laundering, also even if you do play the game of sending less than 10K and sending more a week or so later, they can catch this and perhaps question your motives.

 

The other limit of 50K per year, I believe has to do with cash flowing out of China, not into China.

hehehe...Dan, go take $10,000 cash out of, or deposit $10,000 cash into your non-business bank account. I forgot who they have to report it to but think it is the IRS, I'll ask my bank who they report it to when I go cash one of my Treaury Department checks for travel pay. When I bought my then girlfriend a home in Chiner I told a teller what I was going to be doing. She told me how the game works and said if I wanted to take $10 grand or more out in any 24 hour period I'd have to fill out a form that they would then send in to whichever government agency they report to. I've got a coupla checks here to cash and I'll ask the bnk this week and let ya know who they report to.

 

Yes, we are free in America, you just have to know what rules Uncle plays by and stay within them...lol

 

We wound up getting into a scrap with Western Union on my side....they refused to let me make anymore transactions until I sent them proof of where I got my money, this, after I had sent some certain amount...and Wenyan had a very polite policeman call her and set up a meeting in her mother's home to ask her about this money she was getting. The copper was very polite and humble in her home and only asked her what was up? She showed him the new home paperwork and explained about her awful experience with the American State Department in Guangzhou and how her American boyfriend was sending her the money to pay for her home. He told her she was lucky to have an American boyfriend doing this for her, that his questions were answered, and wished her good luck.

 

When Wenyan goes over to China in a few months I'm gonna use W/U to send over a couple of hundred more yuan into her bank account....each time she goes over until we reach our goal in her bank over there. It's all part of the Chinese side of our safety and retirement plan for her should I croak unexpectedly. I've bought her teh apartment rental business and doing a similar thing with with her American bank account. I take what happened to Bobby and his wife, and the others we read about VERY seriously. The American side is pretty well covered at this point. She can pay all of her bills and live here comfortably enough already, but once Fengqi's university is finished I'm pretty sure she'll head back to China. We just need to preload some more Chairman Moe's into her bank account there and the job is done....well, after I get the "instructions for SS and VA written out...lol Then it is PLAYTIME. Wiht the wife save, I can buy some more toys tolay with...with a clear conscience...lol

 

 

tsap seui

[canrun]

Thanks all for the help. Much appreciated!

 

-Aaron