A little more light on freely convertible currency (FCC) bank cards in Cuba
How to send money to Cuba for MLC cards?
WHAT IS A MLC SUPPORTED USD ACCOUNT AND WHAT ARE ITS FEATURES?
In the new MLC stores you can buy by paying with a magnetic card. These cards can be issued by Cuban institutions such as Banco de Crédito y Comercio (Bandec), Banco Popular de Ahorro (BPA), Banco Metropolitano (Banmet) and American International Service (AIS).
The MLC-backed USD accounts are so named because all foreign currencies accepted in Cuba deposited therein (British Pounds, Canadian Dollars, Swiss Francs, Mexican Pesos, Danish Kroner, Norwegian Kroner, Swedish Kroner, and Japanese Yen) will be converted into USD at the daily exchange rate.
These accounts only work with magnetic cards, and they can be opened without making an initial deposit. These accounts also do not have a mandatory minimum balance.
Deposits into these accounts - with the exception of AIS cards - can be made in cash at bank branches of the bank that issued the card, by transfer between accounts or from abroad.
Resolution 103/2020 of the Central Bank of Cuba eliminated the application of the 10% tax on deposits in US dollars. These accounts do not declare interest or access bonuses. They are simply a means of payment within the national territory.
In addition to purchasing in stores in USD, these cards can be used for other operations such as paying for services, purchasing through point-of-sale (POS) terminals in stores and CUP and withdrawing cash (CUP) at ATMs and bank branches. In all three cases, the current exchange rate would be applied.
With the exception of AIS cards, it is also possible to make cash withdrawals in USD from these accounts. This operation is not done at ATMs but directly at bank branches and is subject to the availability of liquidity in the banks where the card was issued. This is usually a slow process because Cuban banks suffer from a chronic shortage of liquidity in foreign currencies and their availability is almost always associated with recent cash deposits.
MLC-backed USD accounts can be managed via mobile banking services (Phone Banking, Remote Banking, Transfermobile and EnZona), except AIS.
WHAT TYPES OF USD CARDS SUPPORTED BY MLC ARE THERE? HOW IS MONEY DEPOSITED INTO THEM?
In Cuba, there are several types of USD magnetic cards with MLC backup. These cards are issued by the Credit and Commerce Banks (Bandec), Popular de Ahorro (BPA) and Metropolitano (Banmet) and by the American International Service (AIS), through Fincimex.
Visa and Mastercard cards are also authorized to operate in Cuba, as long as they have not been issued by institutions or banks in the United States or offices of these institutions in other countries.
Depending on the card type, deposits of funds into MLC can be made in several ways:
■ By external bank transfers from banks that have correspondent agreements with Cuban banks and in currencies accepted by Cuba. These transfers generally apply commissions. Due to the restrictions of the blockade against Cuba, transfers cannot be received from any bank in the United States.
■ By bank transfers from other MLC accounts opened in Cuban banks.
■ By transfers via the websites of companies associated with Fincimex. This method applies to holders of Banmet and BPA MLC cards and AIS-USD cards issued by Fincimex. Bandec cardholders are excluded. These transfers usually apply commissions.
■ By depositing cash in Cuban bank branches in US dollars, Canadian dollars, euros, pounds sterling, Swiss francs, Mexican pesos, Danish kroner, Norwegian kroner, Swedish kroner and Japanese yen. The daily exchange rate in Cuba would be applied to each deposit to record them in the USD account.
You cannot transfer money to a USD account using magnetic cards associated with CUP accounts.
The amount of funds for each transfer has no pre-established limit. However, there may be limits for sending money imposed by the regulations of the countries from which the transfers originate.
In the United States, for example, in September 2019, the Treasury Department's Office of Foreign Assets Control (OFAC) imposed a cap of $1,000 per person, every quarter, on sending family remittances to Cuba.
Due to the constant persecution of financial transactions to and from Cuba as a result of the blockade, Cuban banking entities recommend that those wishing to send funds to the island inquire with their bank if they agree to make the transfer to a Cuban bank.
AMERICAN INTERNATIONAL SERVICE (AIS) - AMERICAN INTERNATIONAL SERVICE
The American International Service website has more than a decade of experience managing and processing remittances from abroad. It is a service provided by Financiera Cimex SA (Fincimex).
Today, three types of cards coexist (AIS card, AIS NO CASH card and, more recently, AIS-USD card).
AIS offers a fourth way to transfer money to the island: deposits from abroad into Cuban bank accounts.
THE AIS-USD CARD
Debit card. The owner will be able to use the AIS-USD card in the network of stores in the currency of the country and authorizes the withdrawal of cash from ATMs, but in CUC.
The only way to top up these AIS cards is online, it is not possible to make deposits in any other way. It is designed to capture remittances from abroad by bank transfer through correspondent banks and companies associated with Fincimex.
The sender can order online, and at no additional cost, the creation of one of these cards that the beneficiary must collect in person at the nearest Fincimex office.
Transaction processing times are short. If a sender exceeds 3,000 CUC sent in a quarter, AIS will request additional information.
Online ways to send transfers to AIS-USD cards:
aisremesascuba.com (worldwide)
enviodinero.es (Europe and Canada)
vacuba.com (United States)
cubamax.com (USA)
sendvalue.com (Europe)
The balance of AIS cards can only be known by telephone requests from the owner to the local Fincimex office.
CARDS ISSUED BY THE CUBA BANKING NETWORK
Banco Popular de Ahorro (BPA), Banco de Crédito y Comercio (Bandec) and Banco Metropolitano (Banmet) can receive money transfers from abroad to individuals in Cuba.
Bank transfers from abroad should only be made from banks that have agreements with Cuban banks (correspondent banks). A transfer made from a non-correspondent bank may not be effective or may generate additional fees.
Bandec, BPA and Banmet have a public list of international banks with which they maintain correspondent relationships.
Beneficiaries must ask their branches for the information necessary for the sender to make the transfer from abroad.
The bank transfer route is an efficient option, especially for sending money from Europe and Canada. Most of BPA, Bandec and Banmet’s correspondent banks are located in Spain, Canada, Italy and Germany.
Below are some international banks corresponding to Cuban banking institutions:
Country: Inglaterra Code Swift: HAVIGB2LXXX Bank: Havin Bank Limited Plaza: London
Country: Suecia Código Swift: NDEASESSXXX Banco: Nordea Bank Sweden AB Plaza: Estocolmo
Country: España Code Swift: BSABESBBXXX Bank: Banco de Sabadell, SA Plaza: Sabadell
Código Swift: CAIXESBBXXX Banco: Caixabank SA Plaza: Barcelona
Código Swift: BBVAESMMXXX Banco: Banco Bilbao Vizcaya Argentaria Plaza: Madrid
Code Swift: CAGLESMMXXX Bank: ABANCA Corporación Bancaria SA Plaza: La Coruña
Country: Canada Code Swift: BNDCCAMMXXX Banco: National Bank of Canada Plaza: Montreal
Additional information
Comments