Republic bank moves to single currency credit cards

[Lance]

Some websites like ebay allow you to pay in TT. That way you can repay the bank just what you owe. No exchange rate.

You ever looked at the rate that they use? It's far worse than what our banks will charge you for US.

this!

same for Amazon. it is far better to pay in US$ on Amazon than to pay in TT$

You guys are right. If you opt to pay in local currency via amazon, the effective rate can at time be close to 7TTD-1USD

[88sins]

Bess tuh use d vtm card instead then

this.
But they changing up that as well, used to be that anyone could gt a vtm card from RBL w/o having an a/c with them. Now you must have an a/c with them, & you have to deposit your TT$ to that a/c & they will then debit your account & credit your vtm card.

I suspect they did this as a means of making more $$, by ppl having to open an a/c, they get to charge you service fees on that account in addition to the vtm commission & the customer having extra cost to buy the USD from them as well

[Chimera]

Yup then they use the broad brush excuse of "anti money laundering laws" to justify everything they do.

[88sins]

So which banks still allow payment of cc using USD?

A lot of them trying to get out of ppl doing this. If you pay in USD they lose the profit they make on the rate of exchange by you having to buy it from them. iirc, rbl no longer accepts vtm card deposits in USD.

[88sins]

Yup then they use the broad brush excuse of "anti money laundering laws" to justify everything they do.

well they hadda try to justify it somehow w/o lookin to greedy, & 1 lame excuse is just as good as another on paper.

[syncrod]

Using a USD account
USD Cash - > Midrate - > USD A/C - > VTM @ Midrate + commission paid in ttd

Using a TTD account
USD Cash - > Buy rate - > TTD A/C - > VTM @ Selling rate + commission paid in ttd

e.g. Rates
Midrate 6.3117
Buying 6.20
Selling 6.3733
You won't lose if you use a USD account only when you start to convert currencies by using a TTD account

[TriniAutoMart]

This is crap really.
Can't use US dollars to pay off US purchases directly.

[silverfire]

silverfire, source please?

I said we called the ccc...Credit Card Centre. I cannot recall the name of the person we spoke to.

[Country_Bookie]

Yup then they use the broad brush excuse of "anti money laundering laws" to justify everything they do.

well they hadda try to justify it somehow w/o lookin to greedy, & 1 lame excuse is just as good as another on paper.

Either CBTT or the Compliance Dept within RBL figured out that someone could avoid all of the AML regulations that come with a regular account by just using a VTM card. They could have just designed new regulations for using VTM cards, but it was simpler and more profitable to make VTM users open new accounts.

[Trinbagoviews]

Banks in T&T operate in an market arrangement that can be described as an oligopoly that is dominated by a small number of service providers. Consequently a lack of competition leads to higher prices and poor service.

What Grants Commercial Banks Oligopoly Status? High Barriers to Entry Into The Banking Market.

Principally Government regulations: namely the Financial Institutions Act 2008 (FIU) favors existing firms making it difficult for new firms to enter the market.

e.g. of a requirement

"the applicant's ability to meet the requirement of a minimum stated capital or assigned capital of not less than fifteen million dollars or such increased amounts as may be required pursuant to section 16(4), 17(7) or 18(4)"

"Annual fees equivalent to $200,000 annually payable to the Central Bank."

It is noteworthy to mention that new applicants are not guaranteed registration as applications for a banking licence may be declined by the Minister, who may "approve or refuse the application".

(would be interesting to find out how many applications over the years have been declined)

The application process and fees act as an artificial barrier to potentially competitors.

P.S. this is why the Central Bank wants to crack down on Credit Unions.... they getting too bright and want to start offering the same services offered by Commercial Banks at better terms.

These regulations are not to protect you but to protect the banks.

[Country_Bookie]

^As per usual, ur analysis belies a level of research consistent with that of a primary school composition.

[Chimera]

doh take that trinibagoviews

d man now say you not smarter than a standard 5 student

[Trinbagoviews]

^As per usual, ur analysis belies a level of research consistent with that of a primary school composition.

Looking forward to your rebuttal either here or on the blog....
The floor is yours ……..

[Country_Bookie]

I don't do internet arguments so keep waiting.
However for ur own education, I'd recommend some research into Basel Accords I-III, the CAMELS rating system and the risk based approach to regulation of banks and credit unions.

[Lance]

Banks in T&T operate in an market arrangement that can be described as an oligopoly that is dominated by a small number of service providers. Consequently a lack of competition leads to higher prices and poor service.

What Grants Commercial Banks Oligopoly Status? High Barriers to Entry Into The Banking Market.

Principally Government regulations: namely the Financial Institutions Act 2008 (FIU) favors existing firms making it difficult for new firms to enter the market.

e.g. of a requirement

"the applicant's ability to meet the requirement of a minimum stated capital or assigned capital of not less than fifteen million dollars or such increased amounts as may be required pursuant to section 16(4), 17(7) or 18(4)"

"Annual fees equivalent to $200,000 annually payable to the Central Bank."

It is noteworthy to mention that new applicants are not guaranteed registration as applications for a banking licence may be declined by the Minister, who may "approve or refuse the application".

(would be interesting to find out how many applications over the years have been declined)

The application process and fees act as an artificial barrier to potentially competitors.

P.S. this is why the Central Bank wants to crack down on Credit Unions.... they getting too bright and want to start offering the same services offered by Commercial Banks at better terms.

These regulations are not to protect you but to protect the banks.

What is your definition of an oligopoly?

Approximately 7 (8 if you count citi for corporate clients) is hardly an oligopolistic market orientation within the context of a small market.

[nervewrecker]

The vtm card you always have to load with tt anyway not so?

I does buy USD and load it.
Hence the request for USD in here.

[mero]

how much you wanna buy nerve?

[nervewrecker]

depending on the seLling price I might take a lil USD$500

[88sins]

The vtm card you always have to load with tt anyway not so?

I does buy USD and load it.
Hence the request for USD in here.

hard luck dey boi nerve, dem dayz done.
as far as I was told, now if you go to the bank with USD to deposit to a VTM, the bank will buy it from you, deposit it to your a/c, then sell it back to you & charge you the commission.
if yuh go with USD, essentially, yuh gettin screwed, then raped, then screwed again, all by the same large coco without the benefit of lube



Country_Bookie, I can tell you that maneuver has absolutely not one frack to do with persons circumventing the AML security measures put in place by CBTT by using VTM cards, this is a revenue boosting measure, pure & simple.
CBTT AML guidelines mandate that primarily deposit transactions above xxx amount, & deposits that are deemed unusual to your account by the bank, must be accompanied by a declaration of source of funds. The bank also has the right to refuse to accept such deposits, or if they do, to inform the FIU of such that they may investigate the card/account holder.

[nervewrecker]

Dem f**Ker's.

[Chimera]

Better to sell usd to friends and family or deposit in a us account and use it when you gonna go abroad or for wire transfers. Makes absolutely no sense at All to sell usd to a bank

[pioneer]

We called the ccc. They gonna use the online merchants conversion rate. They said amazon is 6.8 so we will soon be charged 1us to 6.8tt when we buy on amazon. Smh.

That info is incorrect. Did you get the name of the individual who told you this?

Hadda be incorrect.

From what I gather in the notice, your purchases in USD will be converted to TTD using the current rate.

On amazon you can opt to pay in usd or convert...converting is for choopedees.

[88sins]

Dem f**Ker's.

doh tote feels.
as a means of reducing a little of the expense yuh just hadda keep an eye on the exchange rate & load your vtm with as much as possible when it's low in advance of your purchase

[zoom rader]

Better to sell usd to friends and family or deposit in a us account and use it when you gonna go abroad or for wire transfers. Makes absolutely no sense at All to sell usd to a bank

That's why businessmen hoard and can't blame them.

[88sins]

Sadly it just makes more sense to stockpile your USD & travel with cash when going abroad. 10K in 100 notes is easy to keep on ones person

[Dizzy28]

Better to sell usd to friends and family or deposit in a us account and use it when you gonna go abroad or for wire transfers. Makes absolutely no sense at All to sell usd to a bank

Have a US$2,000.00 I make in per diem over the past three years in a safe home. Just laziness to ever deposit it. Seems keeping it home was the best decision.

[Coppershot]

Quick questions referring VTM (non account holder, I just have VTM card)

1. Other than you have to now have an account with them to access VTM card (pay fees to maintain that new account). Assuming the regular service fees to load VTM card with USD remain the same. All i have to do is fork out is money to maintain a new account??

All I use if for is online shopping.

2. What other alternative USD debit card from other institutions you can recommend.
(I personally don't like Republic, just stuck on a small island with these banking monopolies and I am definitely not a fan of credit cards).

[tech hoarder]

At rbc... U can pay your US transactions in Us currency.. Just go to the teller and request to do it..

[8695]

I come to the understanding that the bank is a business that would never lose. I just check it as 7 TT to 1 US...sadly

[BlackDragon23]

Paypal implemented this system years ago. Sometimes they would charge $7 or $7.10 ttd on every USD for purchases. If republic starts this system..customers will loose out big time.

They should start a USD only card and give customers the option to choose.