Expat Files - 06/08/14

As predicted, the predatory FATCA banking laws that force foreign banks to reveal complete details of US citizen bank accounts to the IRS will be phasing in starting July 1, 2014. And just now we have learned that the 2nd largest bank in Mexico is sending letters to US clients announcing that they will drop or close out all of their existing US client accounts in 30 days, that's June 30th. Remember, there are 1 million US citizens living at least part time in Mexico. Meaning tens of thousands of these unlucky folks must scramble to find other foreign banks to transfer their accounts. But guess what? Other foreign banks won’t open new accounts for US clients either! What to do? Well here are some immediate and long term solutions; no joke, it's really a conundrum for Expats and gonnabees.    

- Oddly enough, down here in Latin America about 95 percent of retail businesses do not accept checks. You see signs to that effect everywhere. Though nearly all establishments that are “on the books” (registered and pay taxes) do take VISA, MasterCard and American Express and credit cards issued from foreign banks. Still everyone prefers cash. So then, if most retail businesses do not accept checks at all, why do Latin banks offer them? Why not go skip it altogether and save the rainforest? Here’s the scoop on that.          

-My upcoming JULY, 2014 “Expat Wisdom” seminar is set to go so. The dates will be Saturday, July 12 thru Thursday, July 17. The agenda and complete signup details are on the www.ExpatWisdom.com website main page. Just click the Latin American Seminar link on the top of the main page and check it out.  

-Do follow the link on the main page at www.ExpatWisdom.com to schedule a private consultation with me. If you want to discuss the details of living, working, playing, doing business and/or retiring in Latin America, now you and I can talk about your situation one on one.