Instadebit Large Withdrawal Amount Concerns - Canada

[hockeyninja]

Hello,
I've a question for other Canadian instadebit users regarding large withdrawal amounts. I've a considerable sum of cash in my instadebit account and I'm concerned that if I attempt to withdraw it to my Canadian bank account, I will trigger red flags and have my bank account frozen and be questioned. I know that large cash transactions (10k+) are reviewed and flagged. Have any of you experienced any issues with withdrawals of this size? Do you have any recommendations to proceed with this? I know online gambling isn't illegal in Canada but I'm worried about losing my winnings or being audited. Any advice at all would be more than welcome. Thanks!

 

[Harry_BKK]

I am not from Canada, but i would recommend multiple withdrawals, each a few days apart, with a value below the audit limits .... that way you shouldn't have any problems.

In Germany that was 10.000 Euro but i think they lowered it to 5.000 Euro, here in Thailand it is 250.000THB

 

[AintWon1967]

Hello,
I've a question for other Canadian instadebit users regarding large withdrawal amounts. I've a considerable sum of cash in my instadebit account and I'm concerned that if I attempt to withdraw it to my Canadian bank account, I will trigger red flags and have my bank account frozen and be questioned. I know that large cash transactions (10k+) are reviewed and flagged. Have any of you experienced any issues with withdrawals of this size? Do you have any recommendations to proceed with this? I know online gambling isn't illegal in Canada but I'm worried about losing my winnings or being audited. Any advice at all would be more than welcome. Thanks!

Hi
I have never withdrawn $10,000 through Instadebit, but I have withdrawn $5,000 a few times and $6,500 once with Instadebit. My bank has never questioned the transactions.

I have had wires sent to my bank as well from Casinos many times for amounts of $5,000+, and once was for $10,000 without any questions from my bank.

I deposited $6,500 cash earlier this year (my winnings were sent to my Titanium Visa card so I took the cash out at MoneyMart) and the bank teller asked what it was from and I said I got lucky and won at the casino. She smiled and congratulated me and deposited the cash to my account. It was a lot of $20 and $50 bills lol!

I bank with Envision Credit Union and ScotiaBank- my InstaDebit account is connected to my Envision Credit Union Account and I have used Instadebit since 2007

I have never felt fearful of having any winnings sent to my bank. They say the correct company names who they are from, so I am not hiding anything or being sneaky and I have no problem saying I won at the casino if they asked. I believe we only pay taxes on interest earned every year and I am sure the banks would only be too happy to help us manage a huge windfall.

When I win the MegaMoola $8,000,000+ and have that sent to my bank, I will let you know

Connie

 

[slotmaster]

I am not from Canada, but i would recommend multiple withdrawals, each a few days apart, with a value below the audit limits .... that way you shouldn't have any problems.

In Germany that was 10.000 Euro but i think they lowered it to 5.000 Euro, here in Thailand it is 250.000THB

This! I would do the same smaller amounts a bit apart.

Hi
I have never withdrawn $10,000 through Instadebit, but I have withdrawn $5,000 a few times and $6,500 once with Instadebit. My bank has never questioned the transactions.

I have had wires sent to my bank as well from Casinos many times for amounts of $5,000+, and once was for $10,000 without any questions from my bank.

I deposited $6,500 cash earlier this year (my winnings were sent to my Titanium Visa card so I took the cash out at MoneyMart) and the bank teller asked what it was from and I said I got lucky and won at the casino. She smiled and congratulated me and deposited the cash to my account. It was a lot of $20 and $50 bills lol!

I bank with Envision Credit Union and ScotiaBank- my InstaDebit account is connected to my Envision Credit Union Account and I have used Instadebit since 2007

I have never felt fearful of having any winnings sent to my bank. They say the correct company names who they are from, so I am not hiding anything or being sneaky and I have no problem saying I won at the casino if they asked. I believe we only pay taxes on interest earned every year and I am sure the banks would only be too happy to help us manage a huge windfall.

When I win the MegaMoola $8,000,000+ and have that sent to my bank, I will let you know

Connie

haha at bolded part

 

[hockeyninja]

Thanks so much for your detailed response! I feel a bit more at ease now. I know that I'm not doing anything illegal obviously, but the banks these days are bound by much more stringent regulations when it comes to prohibited industry types. Online gambling may be legal in Canada, but as most Canadian banks have operations in the US, the US Fed is attempting to enforce their laws north of the border. The Canadian banks have been complacent because they fear their US operations may be in jeopardy.

 

[Adriana B]

Thanks so much for your detailed response! I feel a bit more at ease now. I know that I'm not doing anything illegal obviously, but the banks these days are bound by much more stringent regulations when it comes to prohibited industry types. Online gambling may be legal in Canada, but as most Canadian banks have operations in the US, the US Fed is attempting to enforce their laws north of the border. The Canadian banks have been complacent because they fear their US operations may be in jeopardy.

I wish I were as fortunate as you! And, good for you! All I can tell you is that I tried to withdraw $100 to my Visa card. A new policy went into effect July 1st and the funds are not in my Visa account and the casino says the funds never got bounced back. It is becoming more and more difficult. Look at the trouble I had over $100. I assume I will never collect. Anyway, I would take other people's advice and withdraw bit by bit because it seems that they are clamping down on us. I suspect it may have something to do with OLG losing all this business which in turns means the province is losing all this revenue. Just my take on it. Good luck and again, good for you!

 

[winbig]

Be advised that if there are laws in place regarding reporting transactions over $X, making multiple withdrawals to your bank under this amount in order to circumvent audits, etc, could be considered money laundering (At least that's the way it is here in the USA, not sure about Canada, but I'm sure similar laws are in place)....just be careful

 

[Adriana B]

Be advised that if there are laws in place regarding reporting transactions over $X, making multiple withdrawals to your bank under this amount in order to circumvent audits, etc, could be considered money laundering (At least that's the way it is here in the USA, not sure about Canada, but I'm sure similar laws are in place)....just be careful

That is exactly why Visa said they are not allowing these transactions. Really? Money laundering $100. Anyway winbig I think you are right.

 

[winbig]

That is exactly why Visa said they are not allowing these transactions. Really? Money laundering $100. Anyway winbig I think you are right.

noooo....I was referring to the OP and the $10k+.....

 

[randomiam]

idea

talk to them see if you can get it paid to a web wallet i think you guys can use ecopayz or skrill then use the provided atm card to take out cash bit by bit or link it to a bank account from a overseas bank that operates in you country. inbox me if you like and i can do some further research for you

 

[hedgehok]

I just checked the audit-limits: In Canada it's C$10,000. In germany it's €12,500 (Außenwirtschaftsgesetz (AWG) § 11) btw. I wouldn't withdraw in tons of small transactions. That's more suspicious than a couple of bigger(ish) ones below the barrier.

 

[AintWon1967]

Regarding banks reporting of large cash or EFT transactions of $10,000 in Canada

Maybe if you don't have a job or regular income and deposit paychecks or pension money etc. they may check more thoroughly on why you have large deposits, but I have never been worried. I have never been audited or had my account frozen.

Reporting to FINTRAC

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A large cash transaction report is submitted to FINTRAC when a reporting entity receives $10,000 or more in cash in the course of a single transaction, or when it receives two or more cash amounts totalling $10,000 or more made within 24 consecutive hours by or on behalf of the same individual or entity.

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1. What is FINTRAC?

The Financial Transactions and Reports Analysis Centre of Canada (FINTRAC) is an agency of the Government of Canada responsible for facilitating the detection, prevention and deterrence of money laundering, terrorist activity financing and other threats to the security of Canada.

FINTRAC receives reports from financial institutions and intermediaries, analyzes and assesses the reported information, and disclose suspicions of money laundering or of terrorist financing activities to police authorities and others as permitted by the Act. FINTRAC will also disclose to CSIS information that is relevant to threat to the security of Canada.

The analysis of information that FINTRAC receives from reporting entities facilitates the investigation and prosecution of money laundering offences and terrorist financing offences. FINTRAC's analysis is a vital tool to law enforcement, and strikes a balance between privacy and enforcement needs.

3. Does FINTRAC freeze funds?

FINTRAC DOES NOT freeze or seize funds.

Reporting Electronic Fund Transfers to CRA

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Why Will Reports Be Sent To The CRA?

In the 2013 Budget, the Government of Canada announced measures to strengthen the ability of the Canada Revenue Agency (CRA) to combat international aggressive tax avoidance and international tax evasion. One of those measures called for the reporting of international electronic funds transfers (EFTs) of $10,000 or more to the CRA, for use in the administration of the Income Tax Act, Excise Tax Act, and the Excise Act, 2001. Starting on January 1st, 2015, reporting entities that currently have an obligation to report EFTs to FINTRAC under the Proceeds of Crime Money Laundering and Terrorist Financing Act (PCMLTFA) will also be reporting to the CRA when they report EFTs using the Shared Reporting Process.

Connie

 

[Jasminebed]

I don't think I'd worry. Gambling wins are not taxable in Canada. Contact your bank, tell them you are expecting the transfer, and ask what paperwork they may require.

A few years back, I deposited over 10K in cash in four weeks (I had been paid to TitaniumPlus Visa in installments), and BMO merely congratulated me on my luck.

Enjoy your winnings and be wise.

PS. Ecopayz is expensive to withdraw via ATM. The card to withdraw from is USD, you get hit by conversion fees twice, plus ATM fees from them and the bank you withdraw at. Cost me $295 to get $280 cash from an ATM. There are limits as well, much lower than 10K for newer players.

 

[hockeyninja]

Thanks everyone for your great advice. Such an awesome community here!