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Well, I'm certainly not rich, but have recently sold my house and would like to wire at least $100,000 to the Philippines, to build a house. My wife is a Philippine citizen, but spent most of her life in the west, so relatives aren't an issue. I know some say not a good idea, but with the current trend of American Banks to cancel accounts of those living out of the country, I just don't trust the banks. I'm too old to keep running back and forth to the US when I leave. I know you generate reports if you make several smaller wires, but what issues have you had with the US and Philippine government?

Thanks
 

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I did a large transfer from australia to php last year. 150k Aud. Did not hear anything from anyone. I called my bank and got a better rate for the amount :)


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Not in the same league but I wired my SRRV deposit of $US20 k here with no problems.

However the OP is an American, their banks live by different rules. You may have to demonstrate where you obtained the funds to get it past the US tax man but if you have the documentation and a valid reason for transferring the money should not be an issue.
 

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However the OP is an American, their banks live by different rules. You may have to demonstrate where you obtained the funds to get it past the US tax man but if you have the documentation and a valid reason for transferring the money should not be an issue.
As long as you can provide the documentation, there should be no problem to transfer the funds, but please be aware of the fact that the Philippine banks do not insure accounts to the standards that we are used to. Just to be on the cautious side, I would recommend to keep the major portion in a US institution and transfer as necessary or keep it all there and use a debit card and withdraw as needed(which is how I and some others do here). There is a discussion about this just within the last week or so if you look back a bit.

I also had a house built here and they use a progressive method to pay for it. When an agreed upon percentage is completed, a certain amount is paid, then when another percentage is completed, another payment is made, until completion when the final payment is made.

Fred
 

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As long as you can provide the documentation, there should be no problem to transfer the funds, but please be aware of the fact that the Philippine banks do not insure accounts to the standards that we are used to. .....
Yes true only 500,000 p deposit insurance and I believe that US banks are $US250,000. Canada is in the middle at $CDN 100,000. Don't know if Canada has ever had to pay up but I have read where both US and Philippine banks have had to pay up as well.

Insurance is per depositor so you can put cash in your name, your wife's name and a joint account and get triple coverage for only triple hassle opening all those accounts.
 

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Well, I'm certainly not rich, but have recently sold my house and would like to wire at least $100,000 to the Philippines, to build a house. My wife is a Philippine citizen, but spent most of her life in the west, so relatives aren't an issue. I know some say not a good idea, but with the current trend of American Banks to cancel accounts of those living out of the country, I just don't trust the banks. I'm too old to keep running back and forth to the US when I leave. I know you generate reports if you make several smaller wires, but what issues have you had with the US and Philippine government?

Thanks
You should not have any U.S. government issues, but you need to make sure you file an FBAR every year that you have more than $10,000 in foreign banks.

https://www.irs.gov/businesses/smal...t-of-foreign-bank-and-financial-accounts-fbar

I usually have to do it every year and it is not a big deal. They are not looking at small fish like us.

If you have more than one bank to transfer from, find out the costs and choose the cheapest option. When I bought my house, I found out my Chase bank only allowed me $25,000 per transfer, so I had transfer 4 times a few days apart and had to pay the fees 4 times. I had no other options at the time.

The PH bank insurance of only p500,000 is not of much concern as long as you bank at one of the big boys. BPI has been in business for over 100 years. (Side note: you may have heard than Hanjin Shipyard in Subic is going bankrupt. Four big PH banks are on the hook for around $800 million. The central bank says they can absorb without problem, so they are in good shape).
 

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What about a Citibank to Citibank transfer?
From their website:

Citibank® Global Transfers.
Your money…on the move.
Need to get funds from New York to Korea? This service lets you transfer money from your Citibank account to other Citibank accounts in the US. or abroad.

What it Costs
Incoming transfers free. Outgoing domestic transfers free. Outgoing international transfers, no transfer fee
 

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My guess is the transfer for free ones are sending USD and then it is converted into Pesos. They make up for no transfer fee by giving less in the conversion rate but that's the way it goes. I like to tell the wife - Nothings Free
 

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My guess is the transfer for free ones are sending USD and then it is converted into Pesos. They make up for no transfer fee by giving less in the conversion rate but that's the way it goes. I like to tell the wife - Nothings Free
Yes, and I had looked into some of these options before. I think both banks mentioned only have branches in Manila, and maybe Cebu. That doesn't work for me.
 

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i hate transfer fees. especially when the rate is related to the amount being transferred. for this reason, i would rather issue a check to the account in the Philippines. the charge is per check, you pay only $5 only if you issue one check. once it is cleared you have access to your dollars in the country.

there are drawbacks e.g. waiting period for check clearance, etc. we were fortunate. we issued checks directly to the seller to pay for our place and our $ checks were acceptable to them. no wire transfer fees. at that time there were no deposit fees and any fees (if any) associated with clearing checks were absorbed by the seller.
 

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i hate transfer fees. especially when the rate is related to the amount being transferred. for this reason, i would rather issue a check to the account in the Philippines. the charge is per check, you pay only $5 only if you issue one check. once it is cleared you have access to your dollars in the country.

there are drawbacks e.g. waiting period for check clearance, etc. we were fortunate. we issued checks directly to the seller to pay for our place and our $ checks were acceptable to them. no wire transfer fees. at that time there were no deposit fees and any fees (if any) associated with clearing checks were absorbed by the seller.
How do you avoid exchange rates? At some time or other you will be changing $ to P, or am I missing something.
 

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How do you avoid exchange rates? At some time or other you will be changing $ to P, or am I missing something.
What esv was referring to is banks and transfer services who make their money from the exchange rate. The market rate might be 55 but they only give you 54, thus making one peso on the exchange.

When you use checking writing, dollars to dollars, you choose when, where and what rate to exchange at.

Regarding the house purchase by check in dollars, it is not unusual here in Subic Bay Freeport for a seller to price in dollars, so esv was able to write a check directly to the seller, in dollars.

I paid for my house in dollars and the seller also banked at my bank, so I just transferred the money into his account. No exchange rate involved.
 

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How do you avoid exchange rates? At some time or other you will be changing $ to P, or am I missing something.

We have a dollar account. We issue a USA check for deposit into our dollar account. No wire transfer fees. It is a dollar to dollar transaction, so no exchange rate involved. We can withdraw dollars from the bank. I can use dollars to pay for groceries here. When I use the ATM I get pesos only. The bank dictates the exchange rate in this case.
 

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How do you avoid exchange rates? At some time or other you will be changing $ to P, or am I missing something.
What esv was referring to is banks and transfer services who make their money from the exchange rate. The market rate might be 55 but they only give you 54, thus making one peso on the exchange.

When you use checking writing, dollars to dollars, you choose when, where and what rate to exchange at.

Regarding the house purchase by check in dollars, it is not unusual here in Subic Bay Freeport for a seller to price in dollars, so esv was able to write a check directly to the seller, in dollars.

I paid for my house in dollars and the seller also banked at my bank, so I just transferred the money into his account. No exchange rate involved.

Maraming Salamat Don.
 

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As long as you can provide the documentation, there should be no problem to transfer the funds, but please be aware of the fact that the Philippine banks do not insure accounts to the standards that we are used to. Just to be on the cautious side, I would recommend to keep the major portion in a US institution and transfer as necessary or keep it all there and use a debit card and withdraw as needed(which is how I and some others do here). There is a discussion about this just within the last week or so if you look back a bit.

I also had a house built here and they use a progressive method to pay for it. When an agreed upon percentage is completed, a certain amount is paid, then when another percentage is completed, another payment is made, until completion when the final payment is made.

Fred
I would be very careful about paying up front for the house. More than one expat never saw the builder after paying significant money "up front" I Xoomed the money over when I was building my house 2K USD at a time. I went thru some hassle with Xoom getting my monthly limit upped (per month limit). This money was put directly into a joint pesos account (Metrobank) and presently they charge is $0.00 USD for every transfer. They make their money on the exchange rate being a little lower than the actual exchange rate on that particular day. And the way to "beat" the low insurance coverage at the bank is to have numerous accounts that are just below the max allowed...a pain but some protection if the bank fails. Make sure that you get to pick the flooring and the bathroom fixtures...US parts are available and far superior to the Chinese knock offs...the price is tempting but in a year or two you will need to change out... US lamps will work in the PH with a plug adapter and using the PH light bulb. Good luck.
 

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I Xoomed the money over when I was building my house 2K USD at a time. I went thru some hassle with Xoom getting my monthly limit upped (per month limit). This money was put directly into a joint pesos account (Metrobank) and presently they charge is $0.00 USD for every transfer. They make their money on the exchange rate being a little lower than the actual exchange rate on that particular day.
That would be about the most expensive way possible to transfer a large amount over, which is the topic. Xoom was a good deal 5 years ago. Now they are owned by by Paypal and no longer a good option. My estimate tells me a $2000 transfer will have an exchange rate "fee" of around $54. If you need $50k, that is 25 X 54 = $1350 in fees!

If you have to use a money transfer service, I think Transferwise is the best these days. For $2000, they charge about $18.36 upfront and then give you the market rate on the balance. No exchange rate fee.

Wire transfer is more expensive but if you are doing a large dollar to dollar transfer, much cheaper than Xoom.

The cheapest way is dollar to dollar checking writing. Almost free.
 

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multiple accounts are ok but must be at multiple banks, that's different banks not different branches. Make sure the banks aren't under the same umbrella company.
 

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We've sent over $$ thru Western Union. It's about $100 per every $5K. We send it to my wife's sister. My wife takes a picture of the receipt and sends it securely to my sister who then with the receipt information goes the next day to the local Western Union. Usually she has a brother or two with her.
 

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We've sent over $$ thru Western Union. It's about $100 per every $5K. We send it to my wife's sister. My wife takes a picture of the receipt and sends it securely to my sister who then with the receipt information goes the next day to the local Western Union. Usually she has a brother or two with her.
The topic is about wiring large sums of money. Based on your rates, if one were to use WU to sent $100,000, you would pay 20 X $100 = $2000. Not a good choice.
 
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