Bank of America Kuwait spread?

[larry143]

Was in Mineral Wells yesterday and happened to drive by a Bank of America.

Thought I'd go in talk to Manager about exchanging some Kuwait dinar (of which, I have none but could have had 4 mil right?)

She said "I'll just pull up our "foreign exchange rates, internal use only" and let's see". "Oh I see that will be over a $10,000 transaction, I will have to call our special number and find out the proper procedure". Iasked her if I were to go to another location, say in Fort Worth or Dallas, would they be more likely to make the transaction. She said "Oh no, all the banks have a $10,000 limit and the they have to make this other phone call for procedure." Sheesh!

I told her not to do that abd asked her if I was looking at their figures right? Bank buys Kuwait dinar at $3.1345 and bank sells at $3.9614 "Is that right?" I asked.

I just put this in FYI. It probably doesn't mean much. But IF that is her spread, then (without negotiation) the banks "take" or commission on 4 mil Kuwait dinar would be around $3.3 million.

Yea right, that's gunna happen.........NOT!

[Thor363]

This must be part of the new math LOL

Why do you care about the Kuwait Dinar anyway?

Edited December 8, 2010 by Thor363

[larry143]

This must be part of the new math LOL

Why do you care about the Kuwait Dinar anyway?

My guess is "nobody" here is interested in the Kuwait dinar. I just put that info out there as an example.

I thought that was clear. I'm sorry.

[Optimus Prime]

Thanks Larry for taking the time to do that at the bank...and also for posting.

That is highway robbery!!!

Ali from Dinartrade is looking better all the time.

[FlaDinar]

My guess is "nobody" here is interested in the Kuwait dinar. I just put that info out there as an example.

I thought that was clear. I'm sorry.

Thanks for posting that Larry, good point. If they are doing that on the Kuwait dinar.... they will do that on the Iraqi dinar as well. That IS highway robbery. I am parking my dinar at my bank of america account but I am definitely using DinarTrade for the exchange. I was planning on cashing out a 25K dinar at BoA for travel money but now... not so sure. Let us know if you find anything else out. Thanks for posting this.

[Rabbit Hash]

The $10,000.00 that she is referring to is the Currency Transaction Report. Any transaction at $10,000.01 and above during a single business day has to be reported.

[larry143]

You are welcome Opimus and Fladinar.

I'm thinking we are mostly ALL in the same boat. Eager for action but not without an "action plan".

I use the forum like you do I bet. To gleen as much info as we can, that will help us carry out this mission as successfully, expeditiously and profitably as possible.

Dinar Trade seems to me to be the most "sure" and "set" and SAFE way to have the funds wired or "ledger to ledger transferred". It's NOT the most convenient, unless the open their satelite locations pretty quick.

The $10,000.00 that she is referring to is the Currency Transaction Report. Any transaction at $10,000.01 and above during a single business day has to be reported.

Thanks Rabbit. Yeah I am aware of the $10,000 rule YOU are referring to. She was not however. I don't mean to say she couldn't help me. She just had to go through hoops to help with any foreign exchange transaction over $10k. I just thought that was weird and could be misinformation on her part. Like I said, this was small town and just passin' the experience on.....

[MovieMaker]

Hey Larry, we must be neighbors, Weatherford

I was in Mineral wells yesterday too.

[larry143]

Hey Larry, we must be neighbors, Weatherford

I was in Mineral wells yesterday too.

WOW! That is pretty cool. So...you got your plan for cashin' in all set? I'll just hand my dough over to you and you can do all the leg work...really just kidding.

It'd be interesting to know your plan. You know Ali has said he's going to open an office in Waxahachie right?

We had "chinese" over near the college last Saturday....small world.

[Doc31]

Why do you care about the Kuwait Dinar anyway?

KWD is a world traded currency ... IQD is not ... if you ask about IQD they won't give you answers of any value so you use a similar currency that will elicit the answers that you require ... the answer: BECAUSE IT IS SMART TO DO SO

Now the thing that you need to see here is the spread which is just under 21%!!!!!!!!!! About 8 months ago I called 5th/3rd and did the same ... it was 34%!

What you have to understand is that the real price is in the middle of the spread. In actuallity you only are going to get whacked for 1/2 of that spread.

You might have 4M KWD but if we use the BofA spread of ROUGHLY 10.5% you'll see that what they are getting is:

$3.9614 minus $3.1345 equals $.8269 divided by 2 equals $.41345 by adding that to $3.1345 equals $3.54795 (the actual VALUE of the KWD)

The difference of 4M times $3.1345 ($12,538,000) and 4M times $3.54795 ($14,191,800) is $1,653,800 that they make. (and basically half of the original post but a monsterous amount of money none-the-less).

This is why I have hammered folks to shop shop shop ... it IS a big deal .

Peace

Doc31

[chopper2245]

Was in Mineral Wells yesterday and happened to drive by a Bank of America.

Thought I'd go in talk to Manager about exchanging some Kuwait dinar (of which, I have none but could have had 4 mil right?)

She said "I'll just pull up our "foreign exchange rates, internal use only" and let's see". "Oh I see that will be over a $10,000 transaction, I will have to call our special number and find out the proper procedure". Iasked her if I were to go to another location, say in Fort Worth or Dallas, would they be more likely to make the transaction. She said "Oh no, all the banks have a $10,000 limit and the they have to make this other phone call for procedure." Sheesh!

I told her not to do that abd asked her if I was looking at their figures right? Bank buys Kuwait dinar at $3.1345 and bank sells at $3.9614 "Is that right?" I asked.

I just put this in FYI. It probably doesn't mean much. But IF that is her spread, then (without negotiation) the banks "take" or commission on 4 mil Kuwait dinar would be around $3.3 million.

Yea right, that's gunna happen.........NOT!

Hey larry good post i think we might make that trip after all up to DT. We live in Houston but i would really like to save as much as i can even if thats means road trip with kids. Put in a dvd and hit it. My lil one walks around and say's GO RV!!!! It's too cute good luck my friend!

[larry143]

Chopper,

Thank you. Just trying to keep focused on our duties and strict plan right (or I should say get a strict plan of action).

That would be such a fun trip up there. But can you imagine the TRIP BACK!!!!!!!!

We are very "guarded" in our excitement. Yet so very hopeful.

We've shopped for the new car we'd like under $60,000 and the new motor home...because that's fun to do ya know.

I think we ought to look at Dinar Bankers cash in plan too. The only catch is, on their web site they say if they get blasted with business, they will only cash out customers of theirs (paraphrased a bit). Otherwise, they are going to have a location at D/FW airport. As a satelite office, he said between 24-48 hours after RV.

On the other hand Waxahachie is not far either right.

Good to have those of like mind with good will, in on this enterprise. God bless us all.

[GaJanie]

That was a great idea. Thanks for doing that and for posting the info.

[kox]

Yeah, I checked on Dinar Banker, and they will have cash in at just about all the major airports, Dallas and Houston in Tx, and all the majors...I'm keeping them in mind if Ali is too hard to get into... I'm ready...how about you???

[deb51]

DAMN...between the banks and the IRS...it's enough to make ya puke!!! Thank GOD for the extension of the Bush tax cuts...15% long term capitol gains for the next 2 years...right????

[larry143]

DAMN...between the banks and the IRS...it's enough to make ya puke!!! Thank GOD for the extension of the Bush tax cuts...15% long term capitol gains for the next 2 years...right????

Hey Deb51,

I know how you feel, me too!!!

I think you may be right on that 15% on the long term investment point but certainly you'll find out prior.

I just wish mine had been held over a year. I feel mine will be considered short term, and be taxed as noraml income. But actually...I'm ok with that too.

Just let me have my portion of the proceeds....YEHAW!!!!

[Legolas]

The "spread" that you're seeing on the Kuwaiti Dinar is the same as virtually all foreign currency exchanges made on a daily basis, including what we have been paying on the Iraqi Dinar. There is a spread when you buy currency, and another when you exchange it back to U.S. Dollars. You're paying a similar spread when you purchase from any Dinar dealer. That being said, IF the Dinar revalues, it will undoubtedly be handled much differently by the banks than a normal currency exchange. Obviously the quantities exchanged will be huge as compared to their normal daily exchanges. Banks will know that in order to get your deposits, they will have to be competitive with virtually every other bank and Dinar dealer. They'll do whatever they have to in order to get your business. Don't worry about it until and unless we see the RV. Until then there is no point in talking to any bank about the Dinar. Rest assured that when you call a bank with a million dollars in your hand, fees and attitudes will be much different.

[larry143]

Legolas,

Good points, thanks.

The only place we may differ on is the point you make..... "don't worry about it until and unless we see the RV".

Some people, not you I'm sure...mistake "planning" or "setting up arrangements" for WORRY.

Of course they are not the same. In my way of thinking....worry WITHOUT action is pretty useless. On the other hand, worry WITH action turns into planning, scheming, laying out a good, decisive course.

All is good, we all have different ways to "cross that bridge" right? Thanks again

[okane]

This must be part of the new math LOL

Why do you care about the Kuwait Dinar anyway?

Sorry but the math was correct. The bank take or spread would be 3.3 mil at those rates. The Kuwait Dinar was used as an example because it is , never mind .......

[jcav]

Thank you larry for your DD.

[larry143]

Thank you larry for your DD.

You are welcome I'm sure. Just not sure what DD is? Sorry.

Sorry but the math was correct. The bank take or spread would be 3.3 mil at those rates. The Kuwait Dinar was used as an example because it is , never mind .......

Man! It sure feels good when someone has your back, THANKS!

I knew the math was right but didn't know what he was thinking so....no problem.

Won't it be wonderful then........God bless

[okane]

KWD is a world traded currency ... IQD is not ... if you ask about IQD they won't give you answers of any value so you use a similar currency that will elicit the answers that you require ... the answer: BECAUSE IT IS SMART TO DO SO

Now the thing that you need to see here is the spread which is just under 21%!!!!!!!!!! About 8 months ago I called 5th/3rd and did the same ... it was 34%!

What you have to understand is that the real price is in the middle of the spread. In actuallity you only are going to get whacked for 1/2 of that spread.

You might have 4M KWD but if we use the BofA spread of ROUGHLY 10.5% you'll see that what they are getting is:

$3.9614 minus $3.1345 equals $.8269 divided by 2 equals $.41345 by adding that to $3.1345 equals $3.54795 (the actual VALUE of the KWD)

The difference of 4M times $3.1345 ($12,538,000) and 4M times $3.54795 ($14,191,800) is $1,653,800 that they make. (and basically half of the original post but a monsterous amount of money none-the-less).

This is why I have hammered folks to shop shop shop ... it IS a big deal .

Peace

Doc31

Well put Doc. I have seen post of some people projecting that a LARGE % of investors will be broke within a year of the RV. I think that is sad but will be true for many. We MUST do our homework and try to get an idea of the numbers. Thank you for trying to educate us. There are several on this site who do so much to educate and share their ideas. It is so helpful.

[Adam Montana]

You are welcome I'm sure. Just not sure what DD is? Sorry.

Due Diligence

[larry143]

Due Diligence

Dang! I should'a know that!!! Thanks!

[jcav]

Dang! I should'a know that!!! Thanks!

That's ok. Your welcome.