Citibank Transfer Limits

[dbarberic]

This ties nicely with the thread "Delays in Funds transfers, bank payments?" by Sapines.
http://www.itulip.com/forums/showthread.php?t=2393

Source was UrbanSurvival, so I will quote it from there:

Citibank Transfer Limits

A reader sent along an email said to be from Citibank titled "Change to Inter Institution Transfers User Agreement" which is worth passing along:

"After a review of our security practices, the daily limit on Outgoing Standard (3-day) transfers was changed temporarily to $2,000 on October 30, 2007. That $2,000 limit will be made permanent with this upcoming change to the User Agreement."

[LEFT]Sure enough, a check of the Citibank online agreement shows a monthly limit on standard IIT transfers of $10,000 per month, and a monthly limit on next day transfers of $2,500! "Security" huh?

Here is a link to the actual notice:
https://web.da-us.citibank.com/tandc...e_cashedge.htm

Wonder what that is all about? Preventing bank runs?


Strange.

[Spartacus]

Re: Citibank Transfer Limits

I'm surprised the cospiracy theories are not flying around

transfer limits
Liberty raid
Goldmoney now cannot trade with US banks (just heard this on Puplava - the Bank Goldmoney used to handle transfers to/from US banks pulled the plug on this activity)

This ties nicely with the thread "Delays in Funds transfers, bank payments?" by Sapines.
http://www.itulip.com/forums/showthread.php?t=2393

Source was UrbanSurvival, so I will quote it from there:



Here is a link to the actual notice:
https://web.da-us.citibank.com/tandc...e_cashedge.htm

Wonder what that is all about? Preventing bank runs?


Strange.

[touchring]

Re: Citibank Transfer Limits

transfer limits

This might be created out of necessity if Citibank is losing deposits and needs to stem that loss.

[metalman]

Re: Citibank Transfer Limits

This might be created out of necessity if Citibank is losing deposits and needs to stem that loss.

maybe they're trying to control the interest rate chasers...

Rate Chasers Are Online and Moving Cash Quickly
New York Times
By JANE BIRNBAUM
Published: October 13, 2007

They’re a latter-day version of day traders. Rate chasers, they call themselves: savers who hunt for the best interest rates at banks and credit unions and quickly move their cash from one account to another.

Nick Ferris, 24, chases rates with cash partly borrowed from credit cards. The investments are a “sure thing,” he says.

Chasing Rates

Their forebears took the risky path of rapidly buying and selling stocks in the hope of locking in quick profits, but often suffered deep losses instead. The rate chasers, by contrast, consider themselves safety-conscious — even the most extreme among them who are playing with money borrowed from credit cards — because they are keeping their money in accounts that are federally insured.

“The millionaires have stocks and bonds, and they’re chasing with their safety money,” said Nick Ferris, a 24-year-old software engineer from Rockville, Md., who readily acknowledges that he is one of the more aggressive rate chasers, having borrowed money at 0 percent introductory rates from six credit cards. “We poorer people who don’t want to go bankrupt if the stock market crashes are more inclined to go rate chasing with all of our money because all of it is our safety money.”

[dbarberic]

Re: Citibank Transfer Limits

Goldmoney now cannot trade with US banks (just heard this on Puplava - the Bank Goldmoney used to handle transfers to/from US banks pulled the plug on this activity)

I am very aware of this. I have a goldmoney account. I am now looking at closing it and bringing the funds back over and investing in gold via Central Fund of Canada using my broker account. I don't like the fact that I will no longer be able to easily convert my goldmoney funds into cash and back into my bank account without doing an international wire.

[dbarberic]

Re: Citibank Transfer Limits

This might be created out of necessity if Citibank is losing deposits and needs to stem that loss.

I'm thinking it is more to discourage a bank run.

[Tulpen]

Re: Citibank Transfer Limits

I am very aware of this. I have a goldmoney account. I am now looking at closing it and bringing the funds back over and investing in gold via Central Fund of Canada using my broker account. I don't like the fact that I will no longer be able to easily convert my goldmoney funds into cash and back into my bank account without doing an international wire.

Out of curiosity, why don't you buy a gold ETF and silver ETF? This fund is 50% gold and 50% silver correct? Doesn't it trade at a premium? Where is the added value of the premium? Just curious.

[rabot10]

Re: Citibank Transfer Limits

Out of curiosity, why don't you buy a gold ETF and silver ETF? This fund is 50% gold and 50% silver correct? Doesn't it trade at a premium? Where is the added value of the premium? Just curious.

Gold Money does not report to the IRS, and the gold or silver is out of the US. Just my thought

[metalman]

Re: Citibank Transfer Limits

Gold Money does not report to the IRS, and the gold or silver is out of the US. Just my thought

speaking of irs, did you hear about the guy who paid his employees in $20 gold coins for years? worked like this.

each employee agreed to work for $100 per month. guy pays them 5 x $20 usa 1oz coins. the coins are worth $800 on the market so the employee's really getting paid $4000. the guy pays employment taxes on $100 face value. irs says no way. there's like $100 million plus in payments and tens of millions in back taxes if he loses. guy goes to court and... wins!

why? the cold coins are $20 face value. so is a $20 bill. the guy argued if it's legal to pay employees in $20 face value $20 bills bills why not $20 face value usa gold coins? the government says they're both $20. either agree that they're both $20 or raise the face value of the gold coins to $800. can't have it both ways, boys.

and the judge agreed!

bwahaha ha ha!

[Guest]

Re: Citibank Transfer Limits

Dbarberic -

I opened an account at goldmoney recently and received a notification about the clearing house bank change as you did, a couple of weeks ago.

It's totally meaningless in my view. If or when currency controls are ever instituted, whether your account were direct debited, or you had to send or receive funds by wire, you'd still be paying excise duties on funds crossing any natonal borders where controls are in place.

All that's happened to Goldmoney is they won't be able to do "check by phone" equivalent transactions going forward. So you allocate as much funds as you want to keep allocated to bullion, and you keep that allocation steadily parked there, and invest into or out of bullion at a very reputable audited offshore location for the duration of the PM bull market.

Gold money can park you in some excellent hardmoney CD's with decent interest rates whenever you want to be out of bullion, and you can get back into bullion from your parked cash position with ultra-low spreads to spot and instantly, with a mouse-click.

Why would anyone need to constantly shuttle funds back and forth from Goldmoney and back into one's checking account anyway?

Frequent trading eats up it's own profits in transaction costs. If you intend to keep funds parked in a gold custodial account, which is far and away better than pooled gold tracking funds like GLD or SLV anyway, the change from check by phone to telex transmittals is a minor detail. It does not affect the taxable profile or currency control aspect of your funds in any way.

I suggest to anyone interested that they fund an account there and leave those funds allocated there as a sleeper investment for the entire duration of the commodity bull market.

I am very aware of this. I have a goldmoney account. I am now looking at closing it and bringing the funds back over and investing in gold via Central Fund of Canada using my broker account. I don't like the fact that I will no longer be able to easily convert my goldmoney funds into cash and back into my bank account without doing an international wire.

[Captain3D]

Re: Citibank Transfer Limits

AH just saw this about GoldMoney

I wanted to set up a $ cost average type of thing from my US account. Now I will have to do it in bigger chunks or maybe do something with my UK bank.

phil

[dbarberic]

Re: Citibank Transfer Limits

AH just saw this about GoldMoney

I wanted to set up a $ cost average type of thing from my US account. Now I will have to do it in bigger chunks or maybe do something with my UK bank.

phil

I assume that if you have a UK bank account, then you are a UK citizen and the Goldmoney change does not apply to you. It only applies to US citizens.

[Captain3D]

Re: Citibank Transfer Limits

Sorry I should have said. I am a UK citizen working and living in the US. All my money is in the US right now. I do have a UK bank account and thought there might be some benefit to using it to fund Goldmoney.

What are the implications of wiring more than $10,000 from the US these days? Is there still a special reporting need for this?

Any recommendations on how fund Goldmoney from the US going forwards?

phil

[jk]

Re: Citibank Transfer Limits

Out of curiosity, why don't you buy a gold ETF and silver ETF? This fund is 50% gold and 50% silver correct? Doesn't it trade at a premium? Where is the added value of the premium? Just curious.

cef is treated as a closed end mutual fund for tax purposes. so for non-tax sheltered accounts with long holding periods, there is a tax advantage to cef over using gld and slv [which are treated as collectibles and always taxed at a higher rate]. this feature is the source of cef's premium.