Exchage Rate Fee

[Doc31]

There is NO spread on the dinar.........................only $150 per million.

THERE IS ALWAYS A SPREAD ... Go back and read Adam's first post ... Ali will not eat the spread ... it will be incorporated into the rate.

Everyone holds up the KTFM post where Ali said "only the $150 fee". Yet if you read down where his responses are in red you'll see that he says that "we are a currency exchange and we make" our "money on THE SPREAD"

I had never considered that the CBI would not have the best rate (Adam's post) ... scratching my head over that one.

That would mean that the CBI would not only allow but encourage a third party to buy IQD (instead of the CBI) in the belief that either the spread would tighten over time or that this buy in price was preferable to the actual "sell" price.

However, this seems counter-productive for the CBI who appear to want to "absorb" or "reassimilate" their big bills.

What am I missing here ... "that boat don't float"!

Peace

Doc31

Thanks for the post

Edited August 3, 2010 by Doc31

[KCT]

I agree with Adam in that most local banks will exchange after RV. I just checked with my local bank (Bank of Tuscaloosa- a "Synovus" bank) and they said that they will exchange Iraqi dinar. I too will also check around for the best fees, but I am relieved that I won't have to travel a great distance if I don't want to.

[Adam Montana]

I have sources that tell me the CBI is already planning on undercutting the rate in order to suck in as much dinar as possible at the best rate possible.

I obviously can't confirm this with a link, but ask yourself this: does it make sense that they would do that?

The answer is yes, of COURSE they will do that.

Personally, I don't care - I plan on reinvesting and making more than anyone who simply "cashes in" anyway.

[Butifldrm]

Found this on another site Tidbits, maybe this might be helpful

Ali’s Cashing Out Chat – Found at Just4Dinars – 6/29/10

June 30, 2010 By Fred Wilson Leave a Comment

CC Conference Call Transcript with ALI: Q and A, 6-29-10 9pm cst

Posted Today, 08:04 PM

Cabletech – DinarVets

[glorygirl] let’s move on….what will your fees be?

[TamRon400] Fees on Dinar – Flat fee of $150 per million which will be taken out of the proceeds. Dong will be 2%.

[TamRon400] More costs involved

[glorygirl] so for the dinar….being transferred to the US treasury?

[gankans] ok

[glorygirl] can you explain what the CBI buy back rate compared to the other?

[assistant] CBI will be taking rates off markets every day – 1/4% or less than that – spread no more than 1/10th percent

Filed Under another site Tidbits Tagged With 6/29/10, Ali’s, Cashing, Chat, found, Just4Dinars

Topic: CONFERENCE CALL TRANSCRIPT 6/29/10

My question is, Will banks have to charge the same CBI buy back fee? ( 1/4% to 1/10% )

[Mammaw]

That's a common misunderstanding about cashing in with Ali. He is saying no EXTRA spread.

How do you think Ali will avoid paying the fees that major banks, such as Chase and Bank of America, pay when they do large transactions? Banks pay a fee to the government and to other banks when they do money exchanges and I'm sorry, but Ali is not above the government nor is he more powerful than a bank like Chase or Wells Fargo.

Ali may not charge an EXTRA fee, but you cannot avoid the base spread. Ali can't avoid it, and he's not going to eat it! So, the bottom line is - you're paying the spread + $150 per million.

Now THAT is a smart move!

You're exactly right. However, I don't think the tellers even see the "spread", they just punch in the number and they get told how much to exchange it for. The "spread" is worked into the equation behind the scenes.

Thank you Adam, everyone..for your assistance in helping ones like me to understand the process. I have a BOA account, and therefore sounds like I am all set. Thank you for making it so simple to understand. And I am with you Adam, once I cash in I want to send a large deposit to the Warka account and look into the Stock angle.

Edited August 3, 2010 by Mammaw

[chevygirl83]

I have sources that tell me the CBI is already planning on undercutting the rate in order to suck in as much dinar as possible at the best rate possible.

I obviously can't confirm this with a link, but ask yourself this: does it make sense that they would do that?

The answer is yes, of COURSE they will do that.

Personally, I don't care - I plan on reinvesting and making more than anyone who simply "cashes in" anyway.

Hey Adam I have a question- say this RV happens big and we are talking about transferring millions into our accounts, didn't the amount of money that is FDIC insured get lowered to only $250k? Please correct me if I am wrong, just trying to figure this out- if I end up with over 250k will it be safe in my bank account? (I plan on reinvesting and spending some)

thanks!!

[Adam Montana]

One word: diversify.