Cuban Banks “Hijack” Family Remittances
HAVANA TIMES – Jose Reyes Albuerne is 71 years old and lives in Las Tunas. A few days ago, he told El Toque about his frustration with not being able to shop at dollar stores, even though he receives foreign currency in the remittances from his daughter.
“I will never agree that they send me euros and they load them onto an MLC card that is now useless,” he said.
According to what he told elTOQUE, he doesn’t receive “a single cent from the government” and, therefore, he demands that his daughter’s sacrifice be respected so he can live a little better.
Reyes Albuerne is not the only retiree who explained his frustration about not being able to receive the money sent by his relatives.
“I’m retired with 1,528 pesos a month (which is under US $5). They sent me a transfer in euros from Spain, and the Metropolitan Bank can’t make it available because they don’t have the money. What can I do to get the bank to give me my money?” asked a user who preferred to remain anonymous.
The lack of liquidity in Cuban banks has made it so many customers can’t access foreign currency in cash from their accounts. While this is not a new issue, the inability to access money has increased public frustration, especially with the growing number of dollar stores that accept cash dollars but exclude the MLC.
Where is my money?
A bank worker explained to El Toque that the inability to receive euros directly in Cuba – even if the family deposits that currency from abroad – is due to the monetary and banking regulations established by the Cuban government.
In the current system, foreign currency transactions are strictly controlled; Cubans must receive remittances in MLC or Cuban pesos, and the money sent from Spain, for example, is automatically converted into the corresponding currency based on the sending method and the type of account held by the recipient.
He also explained that it is possible to send money to a “booklet account” in foreign currency and then request cash, “but right now the availability in the banks is poor. It depends on how much has been reserved and how many account holders are requesting it,” he said.
The bank worker added that, in theory, money could be sent to Bandec prepaid cards or Fincimex Classic cards, which are denominated in USD and not MLC, “but withdrawing cash from those is also a problem.”
El Toque readers have commented that they’ve had to wait weeks for their relatives’ remittances to “show up in the account.” While European banks like BBVA, Santander, or Caixa claim the maximum transfer time is 7 business days, in Cuba the process is extended considerably.
“They sent me a transfer in euros from Spain, but the bank holds the money for months, claiming a lack of liquidity. It’s like hijacking the little we receive from our relatives while they have funds to buy cars and build hotels. What can we do as victims in this situation?” said a user in one of the complaints sent to the editorial office.
The same dissatisfaction is felt by Spanish citizens living in Cuba who receive assistance from the European government.
“In recent years, the aid sent by Spain to its citizens in Cuba has been paid in MLC when Spain sends euros. This year has already been critical,” one beneficiary reports.
According to the Spanish Consulate’s website in Cuba, most of the “extraordinary aid to nationals living abroad who are in need through different programs” is delivered in pesos.
In Spain, euros are deposited, but they receive Cuban pesos in their accounts based on the official Cuban exchange rate. The biggest dissatisfaction among beneficiaries receiving aid in this currency is the loss of value due to the exchange rate.
“The euro on the informal market is over 300 pesos, while the bank gives or deposits between 125 and 135 pesos, depending on the rate of the day. We lose a lot of money,” said a Cuban-Spanish person who receives a 100-euro aid.
According to what he explained, along with other Cubans in the same situation, or who receive aid on MLC cards, they have complained to the consulate asking for the foreign currency in cash, but their requests have not been answered.
José Reyes Albuerne from Las Tunas also hasn’t found a definitive solution. “It doesn’t help me for it to be in pesos because I can’t take it out, and then I have to use it to buy foreign currency. I have to do something because everything is a disaster in this country.”
First published in Spanish by El Toque and translated and posted in English by Havana Times.
Maybe they should stand up for themselves like the Palestinians and kick the govt out instead of being cowards and complaining like babies.
For all the talk we have in Miami, that we hate communism, we Cubans here are the ones that are supporting that government with remittances. The Cuban military is holding onto billions of dollars in foreign accounts just for themselves and tourists. The population in Cuba has shrunk. When will we finally take a stand that enough is enough? Stop sending money to the Cuban government thinking you’re helping your relatives. You’re not!! You’re just prolonging the agony needlessly.
There are ways to send USD cash in hand right to the recipient. I am Canadian married to a Cuban and we live in our Cuban home in the winter. We send money using one of the many apps available. Yes it costs, but between the cash and using S23 we get by.
like someone said, the government has money for cars & hotels but not the people. unless the cuban people take back their government, their misery will continue…
People do not send Cash, the money is transferred electronically, so just exactly how are Cuban Banks supposed to give people tradeable Cash?? If people want their friends or relatives to receive cash then they should mail that cash but that is illegal all over the world; the only other option is to fly to cuba and bring the cash to them. In Canada if I want British money I have to put in a request a week in advance for the Bank to get it transferred to my branch but our banks get that money from tourists that bring it here. The Cuban government also needs the tradeable currancy to buy the things that Cubans want off island because the government has to pay cash for these things because other countries do not extend credit to Cuba.
Supermercado23 ( a Cuban government business) ….
https://www.supermarket23.com/es/
…enables you to send food to people in Cuba and pay with a foreign credit card.
The government doesn’t steal this money. They just overcharge you.
Once your Cuban friends or family have supplies, they can trade for other foods like fruit and vegetables.
S23 charges really inflated prices, but they deliver the food to your recipient’s door within days.
The food is American, Mexican and Venezuelan.
*Ask your recipient to check the items and quantities carefully when they receive the food, since the taxi drivers who deliver it often steal some or substitute bad items for good ones.*
**Be careful about ordering frozen goods (meat) since there’s no electric power to keep it fresh after delivery.
List of hardest items to find in Cuba:
Bottled water
Milk (powdered or whole) [whole milk in tetrapaks s best since pure water is scarce]
Eggs (flats of 30 eggs)
Cooking oil
Meat [chicken or pork: don’t order beef]
Cheese [gouda]
Red/kidney beans
Black beans
White long grain Rice
Wheat flour
Corn flour
Yeast !
Sugar
Salt
Pasta
Spaghetti sauce
Tuna in cans
Ahi or other peppers
Garlic
Clothing: especially shoes and underwear
Personal hygiene products
Toilet paper
Charcoal
Propane / LG
Cigarettes (only sometimes available from S23. Very tradeable)
Beer [drinkable alternative to water]
Coffee
***(Products in bold face are highly exchangeable in Cuban barters)***
Someone needs to look into Ripple/XRP, a crypto-exchange medium for international transactions. Transactions can be executed in seconds for pennies, instead of weeks/months for an unfair exchange rate. The people of Cuba deserve timely, fair monetary exchanges.
The money goes to Castro Family and their thug enforcers.
The communist in Cuba have been ripping-off since January 1, 1959. So what’s new!
That’s why I won’t set foot in Cuba!
I feel sorry for the Cuban people (not the commies). I want them to live in a free country.
There’s no reason on earth that Cuba should be poor!
Cuba could be so prosperous and still remain Cuban, but the Cubans that want it will have to stop letting themselves be held back. My wife and I visited Havana in October of 2023 and despite their hardships, talked with some of the proudest and nicest people we’ve ever met. I wish for nothing but the best for Cuba and the Cuban people!
I am a Canadian. I would like to find the agency in Cuba that is providing funds and supplies to cubanos. Email: mforhan3hotmail.com
Cuba is bankrupt what do you expect them not to use your money when they have none, come on give me a break and find another way.
What kind of person who runs Cubia starves his people of food, money, electricity ,medical and anything else they can think of! You can bet they and thier family and friends are not doing without! It’s a sick world we are now living in
There are several other choices including a non-profit in Florida that buys goods with the money and pay in pesos at 310 net for each U S dollar or send U S with people bringing supplies for a 10% commission that do good things in cuba