Question about buying with cash

[piratfisk]

I understand that some ADs or grey market sellers might offer "incentives" for buyers with cash (i.e.: discounts in one form or another). I also understand that banks (I'm talking specifically to banks within the US) must report all deposits & withdrawals over $10k to the IRS & you can't do two $5k withdrawals to try to circumvent this reporting.

My question: For those that have purchased watches with cash, how have you gone about getting your cash from the bank? I'd imagine that I'd have to call the bank beforehand, alert them of my intent to withdrawal, for example $9k & have to provide an explanation for why I need it.

Any help, input & experience is appreciate. Thanks, WISs/TRFers.

[e dantes]

Many of the grays prefer wire transfer. It gets them the money without having to deal with large amounts of cash or credit card fees.

[Lgear080]

It’s your money. You need not provide any heads up to your bank re a withdrawal.

[1William]

I have always been a huge cash person but my experience of late is that a lot of people want wire transfers for significant amounts of money. A lot of people do not deal in cash anymore and while on smaller purchases it does work try to give someone a lot of money and they had better have been expecting it.

[Fat_ninja]

Not sure why you want to pay in cash but... walk in to bank and walk out with this...

Here i was depositing... ;)






If ur bank doesn't have enough money to give u cash without a heads up...may want to bank somewhere else

[nick800]

Go to bank. Ask for money. Walk out.

Be cautious of your surroundings

[SoTaxLaw]

Originally Posted by piratfisk

I understand that some ADs or grey market sellers might offer "incentives" for buyers with cash (i.e.: discounts in one form or another). I also understand that banks (I'm talking specifically to banks within the US) must report all deposits & withdrawals over $10k to the IRS & you can't do two $5k withdrawals to try to circumvent this reporting.

My question: For those that have purchased watches with cash, how have you gone about getting your cash from the bank? I'd imagine that I'd have to call the bank beforehand, alert them of my intent to withdrawal, for example $9k & have to provide an explanation for why I need it.

Any help, input & experience is appreciate. Thanks, WISs/TRFers.

You seem to be concerned about section 6050 reporting requirements. Please be advised these rules apply to more than banks only. You may find this IRS info helpful as guidance.

https://www.irs.gov/pub/irs-wd/0152047.pdf

[piratfisk]

Wire transfer aside, if I were to do a F2F transaction, is the consensus that it is advisable to use a bank check?

[texasmade]

Originally Posted by piratfisk

Wire transfer aside, if I were to do a F2F transaction, is the consensus that it is advisable to use a bank check?

It's the consensus to not carry large amounts of cash for your safety and the seller's safety once the transaction is complete.

[brandrea]

FWIW, banks that deposit more than 10k must report to the federal government.

Also, I personally can’t see the point using cash for large transaction. How would you be sure the money is not counterfeit?

[Tools]

Originally Posted by piratfisk

. . . I also understand that banks (I'm talking specifically to banks within the US) must report all deposits & withdrawals over $10k to the IRS & you can't do two $5k withdrawals to try to circumvent this reporting.

My question: For those that have purchased watches with cash, how have you gone about getting your cash from the bank? I'd imagine that I'd have to call the bank beforehand, alert them of my intent to withdrawal, for example $9k & have to provide an explanation for why I need it.

. . .

Yes, banks report large transactions, so what?

You do not have to provide your bank with an explanation.

They are looking for money laundering, so as long as you are not doing this weekly, it is unlikely that anybody will come knocking on your door.

[piratfisk]

Thanks for the input, TRFers! The reason I ask is two-fold: 1, it might be a bit of a "thrill" to pay for a large purchase in actual cash (I can sense the collective eye rolls). 2, I keep reading here that dealers (both AD & second-hand) might offer discount for buying in cash because it saves them the CC fees on their end. I'm curious if anyone has done this & if they've run into any issues at their local bank.

[Burlington]

When I took that sort of sum out recently from mine, I just went to the desk, showed my ID, they pre programmed one of the ATMs remotely and told me which one to use. Card in, money out in a few batches.

It’s not enough that you would need to prewarn them you’re making a withdrawal for.

[brandrea]

Originally Posted by Tools

Yes, banks report large transactions, so what?

You do not have to provide your bank with an explanation.

They are looking for money laundering, so as long as you are not doing this weekly, it is unlikely that anybody will come knocking on your door.

Interestingly, when I made a wire transfer recently, I was asked by the teller what it was for.

I questioned why she was asking and she told me that they have to make a note of it due to the amount... it was sort of off putting to me, but I assume the banks report to revenue Canada

[bobernet]

Checks can be forged, and as the depositor, you lose the funds and pay penalties.

Cash presents a safety issue, and could also be counterfeit.

< $10k I don’t mind doing cash. More than that, and it’s some form of EFT (wire, PayPal, credit card, ACH, etc).

[Danny83]

It depends on amount more then 20k the bank might need a heads up. Cash or wire is pretty much same deal on a watch. Only time you really need alot of cash is to lowball someone lol.

[One Ping Only]

Originally Posted by piratfisk

Thanks for the input, TRFers! The reason I ask is two-fold: 1, it might be a bit of a "thrill" to pay for a large purchase in actual cash (I can sense the collective eye rolls). 2, I keep reading here that dealers (both AD & second-hand) might offer discount for buying in cash because it saves them the CC fees on their end. I'm curious if anyone has done this & if they've run into any issues at their local bank.

A few years ago when buying a new car I got a better offer from one dealer on my trade than the one I was buying from. So I go to first dealer and they hand me a corporate check.

Call second dealer, they say “no third party checks” and no personal checks over some token amount . Off to the issuing bank. I ask to cash the check and have proceeds in a cashiers check payable to second dealer. Since I don’t have an account, the teller refused. I asked for the manager. She told me the same thing, no checks for non customers. In a semi annoyed tone I asked if they would give me cash. “Of course” she answers.

It must have taken them a half hour to get the cash from the vault, count it three times, have a second person verify the count, escort me into a small private closet to count the money myself, then issue me a cash receipt. That transaction cost them a fortune in overhead instead of just issuing me a check and charging me $5.

The dealer had a good laugh when I slapped the pile of cash on the counter.

I say just use a credit card for the watch and get the points, miles or cash back.

[piratfisk]

Thank you for sharing your experience, Ken. I'm beginning to think that unless there is a significant discount for a cash transaction, just to put it on a CC & then pay it off immediately, once to transaction moves from "pending" to "balance."

[Ballzzz]

Cash is King

[piratfisk]

Originally Posted by Ballzzz

Cash is King

I have heard this old adage. I think that credit is fairly important nowadays, unless there is a significant discount offered for a cash transaction. I think in the 80s/90s, buying with cash was more prevalent.

Can you elaborate, though? Have you had an experience where a cash purchase was more beneficial?

[ZOOK]

Watch out for the police if you have large amount of cash on you. They will take it and you aint getting it back. Google Civil Forfeiture.

[Art 1]

Originally Posted by brandrea

Interestingly, when I made a wire transfer recently, I was asked by the teller what it was for.

I questioned why she was asking and she told me that they have to make a note of it due to the amount... it was sort of off putting to me, but I assume the banks report to revenue Canada

I had the same several times and didn’t like it. I just said paying bills. They replied that was good enough of an answer.

[Ballzzz]

Originally Posted by piratfisk

I have heard this old adage. I think that credit is fairly important nowadays, unless there is a significant discount offered for a cash transaction. I think in the 80s/90s, buying with cash was more prevalent.

Can you elaborate, though? Have you had an experience where a cash purchase was more beneficial?

No credit is essential unless you can afford everything with cash. Even for business credit is key.

Anything I have purchased of decent size diamonds/watches/cars etc I always went with the cash I was willing to spend. I never used it as a tool I would always offer sometimes accepted easily othertimes I would have to show how serious I was.

Cash is one of those few things left that let the other person know I’m here to make a deal if the terms are mutually beneficial.

If not I will take this cash to another proprietor, your move.

[brandrea]

Originally Posted by Art 1

I had the same several times and didn’t like it. I just said paying bills. They replied that was good enough of an answer.

Interesting... was that from your Canadian banknornyour US bank?

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[Art 1]

Originally Posted by brandrea

Interesting... was that from your Canadian banknornyour US bank?

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It’s whenever we do cross boarder banking with TD, can do it over the phone 24 hrs. We have a profile set up with them to transfer money from our US to Canada accounts. Rarely the other way due to the poor exchange rate. But they ask that and I really don’t feel it’s any of their concern.

[brandrea]

Originally Posted by Art 1

It’s whenever we do cross boarder banking with TD, can do it over the phone 24 hrs. We have a profile set up with them to transfer money from our US to Canada accounts. Rarely the other way due to the poor exchange rate. But they ask that and I really don’t feel it’s any of their concern.

Interesting to note as I also bank with TD.

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[s14roller]

Originally Posted by Tools

Yes, banks report large transactions, so what?

You do not have to provide your bank with an explanation.

They are looking for money laundering, so as long as you are not doing this weekly, it is unlikely that anybody will come knocking on your door.

OP, there you go. No one cares what you do with your money, just don't be taking out $10K every week lol.

[SPMN]

Originally Posted by brandrea

Interesting... was that from your Canadian banknornyour US bank?

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I had the same question from a US Bank when wiring funds to Takuya. Mine was for a Pelagos, so a fairly small amount of money.

I didn't like the question, but they said it's required to complete the wire.

Crypto adoption can't come fast enough. I understand the desire to stop money laundering, but it's frustrating to live your life by the rules, make moral decisions at every step of the way, just to be required to tell a banker the reason you're moving your own funds.

[Art 1]

Originally Posted by brandrea

Interesting to note as I also bank with TD.

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Works well for us since they are in both Florida and Ontario. We can use the debit cards in either county as well. No fee and they do the conversion in the account the money is removed from. We are extremely happy with that bank and would not use another. Did you know the TD in Stanley Park is the busiest in Ontario. Was in yesterday and will be tomorrow lol.

[CarrJ]

Originally Posted by Ballzzz

Cash is King

maybe but Credit is God