steviedeluxe

Ok, so he's probably not going to win the election, but Mr Rubalcaba has an interesting idea to make any cash payments of over 3,000 Euros illegal. How will people be able to buy a house if this goes ahead?
[article in Spanish]

http://www.eleconomista.es/economia/...-sencilla.html

Lorna at Vicenza

We already have something similar here. New law that came out in August this year and brought the limit right down to just 2.500 euro.
Cheques and bank transfers are ok. Cash and cash withdrawals are not.

Let's say I have 7.000 euro in the bank and want to lend half of that to a friend ... I'd have to transfer it to her bank. If I wanted to take that money out the bank and keep in it a safe at home, I couldn't. If I want to lend it to my sister in the UK, it'd have to be a transfer to her bank. If your friend or sister doesn't have a bank account.....I don't know what.

It makes me want to scream "it's my hard earned bloody money!"

There are also hefty fines if you go over the limit - and that includes taking out 2.500 this month and 2.500 in Januray and 2.500 in March.

Dick Dasterdly

Exactly he's not going to win the election, so he can make whatever crazy promises he likes. Interesting also that his own party has been in power all this time and done precisely nowt.

So what's to stop ppl.paying for houses and any other major items by instalments ?

Stamp out black money ?
Much like the worlds oldest profession I imagine.
Business will carry on as normal.

Rotor

Black money by definition has always been illegal so I doubt much will actually change.

bil

The only way to stamp out black money is to make cash transactions impossible. Then of course there's barter.....

I remember someone once saying that if everyone paid all their taxes 100%, we wouldn't need to pay so much tax. Personally I think that's bullsh'it, and all it will mean is that we end up paying even more in the end.

JLFS

I am with you on this one.

It will make very little if any difference.

Nobody seems to bothered about it, You (yous)(one) can still have your(ones) wall built for a 750e receipt and pay an extra 250 on top, thus saving the VAT on the thousand euros.

Mostly hot air.

Domino

agree Dick, how can you stamp out black money?
if you agree to give me a hand doing something and I give you a tinnie or two or

if you agree to give me a hand doing something and I give you a tenner

will either of us report the matter to the authorities?
will the authorities be interested?

in either case it can be deemed to have broken some law or other

JLFS

Most people who pay in balck money, get paid themselves in black money.

"Chorradas", seems to be the buzz word of this scheme amongst the local population.

Dick Dasterdly

They can bring out all the laws they wish, but unless they find a way of banning cash altogether nothing much will change.
The main problem is the mindset, especially in Spain and to a slightly lesser extent in the UK.
Black transactions have been virtually bred into them for countless generations so the chances of it being stopped overnight are virtually zero.

Mind you it's a totally different kettle of fish up in Sweden where hardly a single kroner goes unaccounted for.
Once again the mindset, they have been so totally brainwashed to be perfect citizens by countless socialist govts for so many generations, that they rarely think outside the box or consider other options.
If the govt told them all to line up and walk of the nearest cliff, I'm inclined to think that most of them would.
It's comical to see them in a bar queuing up to pay one at a time for each of their half lagers or whatever, individually with a credit card for each seperate drink, rarely any rounds or cash for them, drives the Brit and Irish barstaff bonkers.

Chiclanagir

What annoys me are the companies who will only take cash like our local private health centre. Not a small place by any means but you have to pay everything in cash. Very inconvenient.

Dick Dasterdly

Yes, but very convenient for them, know what I mean like, a nods as good as a wink,eh what ?

Chiclanagir

But how do they get away with it?

stuboy

God only knows! I didn't think it would be happening in those types of organizations

Dick Dasterdly

Any one of a hundred ways. They could well have two sets of books just for starters.

bil

IMO, that's the way to do it. You bring in electronic cash cards and make it hard to use the real thing.