Here's What Happens if You Withdraw $10,000 From Your Bank Account

The Motley Fool ^ | July 9, 2024 | Dana George

[where's_the_Outrage?]

KEY POINTS

The Bank Secrecy Act has been around since the Nixon administration.

The law was designed to stop criminal enterprises, large and small.

Unless you're breaking the law, you have nothing to worry about.

It's your money, and generally, you have the right to withdraw as much -- or as little -- as you desire from your bank account. However, under a law called the Bank Secrecy Act (BSA), banks must report any deposits or withdrawals of $10,000 or more. Here, we'll cover why the BSA exists and if it's anything you need to be concerned about.......

During the Nixon administration, the government decided to pursue financial fraud at the banking level. To catch money launderers, drug dealers, and other bad players, they needed the help of financial institutions. And so the Bank Secrecy Act was born.

Under BSA, banks became legally obligated to report any deposits or withdrawals over $10,000.

In all fairness to the government, $10,000 was worth a heck of a lot more in 1970 than it is today. In fact, a deposit or withdrawal of $10,000 in May 1970 was worth $81,365 in today's money, according to the Bureau of Labor Statistics' CPI Inflation Calculator. If someone made a deposit or withdrawal that large back then, it was worth noticing.

What's interesting is that the $10,000 threshold hasn't changed. Because $10,000 doesn't have the buying power it once did, there are more Currency Transaction Reports (CTRs) and Suspicious Activity Reports (SARs) being sent to the IRS than ever before.

[where's_the_Outrage?]

"The only people who have cause to worry are those involved in illegal activity. If that's not you, you're in the clear."

BS, with the politicalization of the Government Agencies we all need to worry. However, it is really none of their business how we spent our money. My advice is that if the government ever comes calling about deposits/withdrawals, take the 5th.

[Cowgirl of Justice]

I received my new debit card in the mail and there was a mention that I couldn’t withdraw more than $550 per day with it.

First time I ever saw that.

[gloryblaze]

This is CASH. One can take a BMO or transfer from one account to another with no issues.

[eastexsteve]

Keep in mind that this is reported to the IRS.

[Leaning Right]

I’m not a fan of more and more federal government oversight. But many banks are now questioning customers about large withdrawals for a very good reason.

Scammers are getting clever these days. And they are actually manipulating vulnerable people into withdrawing large sums of money. The money is used to “pay the IRS”, of “get a grandchild out of jail”, etc.

A scammer will then direct the victim to convert the money into Bitcoin or gift cards. Then the money is gone forever.

So when banks question customers as an anti-fraud measure, they are on the side of the angels.

[cross_bearer_02]

All well and good. Let’s define what the government says is “illegal” though, and then we’ll see if there’s “nothing to worry about.”

Donations to certain charities? Purchase of certain products or services the government deems “problematic?” Perhaps the risk that the money might be used to promote “hate speech?” Just supporting Trump in general, regardless of monetary involvement (except it’s in your possession)?

Inquiring minds would like to know.

[Tilted Irish Kilt]

Even when you go to the Motley Fool website, there are 'tracking cookies'

[John S Mosby]

And what is CASH? US currency is ALL,all of it labled- “Federal Reserve Note”... on every bill of any denomination.

Our currency is not CASH, it is chartered circulating checks, chartered to the Federal Reserve Bank which is Chartered to Congress. The Federal Reserve Bank is NOT any part of the US people’s government. Not since 1913 and renewed in December 2013 for another 100 years by signature of Barack Obamaumao the First. Truth.

We take back control of our currency as the Constitution stipulates clearly— then we, the People control our financials as close to the people as possible. Making digital transfers of billions/trillions actually to foreign countrys without any approval by the people supplying the currency (the US People) is part of that Charter. Isn’t that wonderful? Janet Yellen Treasurer idiot was at FedReserve that says it all.

[Vermont Lt]

I’ve deposited $10k in cash several times. I’ve withdrawn $10k or more in cash many more times than that.

This was pretty normal when I was running my own business. I closed that business down about 5 years ago.

Not once during that time did anyone ask me anything about what I was doing.

Yes, they needed to file the report—I know that from the time I worked at a bank. But, I guess the tellers figured I was doing this in association with my business because they never asked me.

[PGR88]

Unless you're breaking the law, you have nothing to worry about.

Or unless you attend an unauthorized political rally

Or unless you go to speak out against your local school board's LQBTQ promotion

Or unless you attend a church service when government says you can't leave your house

Or unless you write a negative facebook post about your local police or the FBI

Or unless you keep a lot of cash at your home because you're a "conservative prepper and conspiracy theorist"

F*** these statist/woke media fascists who constantly gas-light us with "its only directed against terrorists" or "you have nothing to worry about if you are a law-abiding citizen."

[rktman]

That’s why I only ever do 9,999.99 at one time. 😂👍

[No name given]

This is why I hate leftism.

[delta7]

The title says it all. Secrecy. .Gov can secretly do what ever they want when you are reported. No presumption of innocence, YOU must be the one to prove your innocence.

Also of note: all these stress tests of banks, are more held “ Secrets”. The four largest banks in America are in trouble, as are many financial institutions. This next financial crisis will come more suddenly than the 2008 meltdown- simply called “ the Waterfall” event.

A word: I saw that coming a full year before Bear Sterns etc….kicked it off here- it started months before in England. I prepared accordingly, and profited immensely- how? by simply not believing what our MSM was saying and most importantly what they were OMITTING.

Judging how Americans fell for the Covid vax hoax and Ukie war- this next meltdown will make 2008 look like a minor theft from the break rooms’ coffee jar.

[Dr. Franklin]

I’m sure whatever happened to the money from the Bidens’ taking home equity loans was well documented. /s

[rktman]

That’s why I only ever do 9,999.99 at one time. 😂👍

[John S Mosby]

Perhaps so- if they KNOW the bank customer account holder, which is important to do if dealing with one bank location.

Branch banking aided all this fraud. ATMs robbed by people who then KILL the customer. Happened to a student president in Chapel Hill, NC— two street apes (oh, and they raped her also, before/during this “withdrawal”).

So, yeah that is possible for bank people asking people they know. When questioned about $100 bill deposited from a renter— was asked “where did this come from?” My answer: Me- your customer.

[Vermont Lt]

Debit Cards come with a fixed limit set in the banks computer system. It is set to limit exposure to the bank (and you) if you lose the card. If you need to use it for larger withdrawals it is something that can be adjusted.

Back in the day we used to limit it to $300. But that was 20 years ago, so I am sure the “default” has been moved up.

If you need more every day, just go talk to the local branch people. They can adjust it.

[M Kehoe]

Crypto currency.

F’em.

5.56mm

[Vermont Lt]

Actually it’s not. It is reported to the Secret Service/Treasuring Department.

[delta7]

Wait for US’s CBDC ( cashless)…..and most people will flock to it quicker than a triple MRNA jab.