Is there a $100,000 limit on debits?

Discussion in 'Property Finance' started by Burramys, 8th Nov, 2018.

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  1. Burramys

    Burramys Well-Known Member

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    I sold a property and put the proceeds into a Citibank account, good interest for a few months until I buy another property. Today the bank advised that there is a $100,000 limit of debits per day. This means that I must make a week or more of debits to put the funds into an account where they can be accessed for buying the new property.. As far as I can recall there was nothing to this effect when I established the account a month ago. The limit may be due to AML/CTF, money laundering and terrorism aspects.

    Has anyone heard of this, and is there a way around it? TIA.
     
  2. turk

    turk Well-Known Member

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    Many banks have various limits on debits.

    What did Citibank say when you queried this?
     
  3. Terry_w

    Terry_w Mortgage broker licenced 4 tax/legal advice Business Member

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    there is no legislative limits.
     
  4. Gill Bates

    Gill Bates Member

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    Id ask if it was and where exactly it is ( ie section ) in terms and conditions when you oopened the account. Or just download and search the T and C to see if it is actually there ....
    In any case ask who can over ride this . Their would be some one at bank who can over ride ... if they want to ...
     
  5. Blacky

    Blacky Well-Known Member

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    If my memory serves me correctly (and it may not) a bank cannot restrict ‘reasonable’ access to your funds.

    They do need to take ‘reasonable’ steps to protect your funds against fraud/theft though. So in some cases it may mean ‘pre-planning’ the withdrawal from the bank. That is advising them of the pending settlement and have them issue a bank Cheque. There would be some formalities for this (forms, Id etc).

    However citibank have netoriously bad/unusual policies. And often the rules change depending on who and which department you speak with.
    There may well be a $100k limit on internet transactions though. So you may need to do it in a branch.

    Welcome to Citibank

    Blacky
     
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  6. Paul@PFI

    [email protected] Tax Accounting + SMSF Business Plus Member

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    The T&C are vague : Appears you can change the limit but IDK if that means UP to $100K per day or more ? Call them ?

    1. Limits apply to all domestic and overseas fund transfers, but do not apply when you are transferring between your own Citibank accounts. A separate A$100,000 limit applies to transfers from your Citibank Online Saver to a Nominated Linked Account that is not one of your own Citibank Accounts.
    You may have a different Daily Transfer Limit if you request or have previously requested to change it.

    Its probably there to stop people linking with ING etc.
     
  7. Burramys

    Burramys Well-Known Member

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    Thanks, most helpful. yesterday I was advised that amounts over $100,000 would take a few days for security reasons. Today the staffer said $100,000 a day, did not give a reason. Policies change depending on the staffer one reaches, or maybe the phase of the moon.

    I'm going to contact the bank and see if the $500,000 transfer can be set up in advance. I took a letter to a branch this morning requesting this but the staffer declined to accept it. The good news is there's no legislative basis, and policy can be changed. The account is linked to my big four bank account, the main account that I have had for ages.

    I'd like to write (will not accept a letter) or email (can't do that) so I have a written reply. Citibank make things so hard. If settlement is delayed then there will be unhappiness.
     
  8. Marg4000

    Marg4000 Well-Known Member

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    Can you do it the old-fashioned way?

    Go into Citibank and request a bank cheque made payable to you for the total amount you want. Walk to the other bank and deposit it. If necessary, pay the fee for a quick clearance.
    Marg
     
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