Bulgarian Banks Introduce a Wealth Tax?!
ฝัง
- เผยแพร่เมื่อ 21 ส.ค. 2024
- Hello everyone! In this video I'm going over what I call the new Bulgarian bank "wealth tax" - in reality it's some sort of negative interest if you exceed a certain amount of money within your bank account that is typically annual with the exception of Raiffeisen (now acquired by KBC Group) where there would be monthly charges as well. (Substantially higher than your typical account fees)
This video is made as a warning to everyone with a Bulgarian bank account in excess of 200,000 BGN.
Call your bank, find out what the tariffs are, as they are not taking any steps to call and notify anyone and expect the average consumer to independently discover this information. (which typically will be in hindsight of getting charged)
If you found value in this video and would like to support me, all I ask is that you hit that subscribe & like button!
You can subscribe by clicking on the following link: bit.ly/3ByNnSa Thanks for watching guys, and I will see you in the next video!!
![[Full Episode] MasterChef Junior Thailand มาสเตอร์เชฟ จูเนียร์ ประเทศไทย Season 3 Episode 10](http://i.ytimg.com/vi/8kldrPPsDZs/mqdefault.jpg)
Just found out that per 01.08.2022 DSK Bank has dropped these additonal costs on accounts over 200,000 Lv...
Yup so did KBC group.
Jim, you can rent a bank vault in CCBANK and RBB (for them i'm sure they have public treasury boxes), but keep in mind that you can't work online with your money, this is a good idea for your money savings. My father went crazy when i told him that the banks are increasing the fees, he withdrawed all of his actives and put them in the vault. I work in RBB (now KBC), the bank politics are not realistic and accurate for the customers.
Interesting and the vault money is not subject to negative interest rate? Only the “online” money is?
How quickly can you transition from vault money to online money?
Appreciate the info
@@JimPastirmatzis it's a fisical box, in the basement of the bank, you sign a contract the limit is always 12 months. Just need to withdraw the amount physically and take it with you, so you can put in the box. People are keeping jewelry, real estate documents, wills, weapons, even drugs. You have acces to your vault with a key, in bank office working time. If you need to use some of your money, you must visit the bank office, open the box and have them with you. There is an annual fee, depending of the box size, that you want to use. In my carreer, i have seen people having lots of different things inside their boxes. Nobody is asking you any kind of questions, what are you going to put inside. The offices i know that have vaults are CCBank on Dondukov blv 7 and Stefan Karadja 2 Str next to the Gotham Club; Also RBB near NDK. You can call and ask if they have free boxes, becaouse people are renting non stop, and it's starting to be a challenge for other customers.
And about your questions - not subject to negative interest rate- YES, you are not going to pay any extra fees , only the annual one. Simply becouse the bank is not working with your money. But keep in mind, that wherever you need to work online with them you need to go to the box, take money with you, visit your bank, deposit it into your account (you will have fee for this transaction), make the payment- again fee for transfering monet thru your bank account.
www.bnb.bg/AboutUs/AUCustomerService/AUCSafeDepositVault/index.htm?toLang=_EN
dskbank.bg/en/individual-clients/safety-deposit-box
www.unicreditbulbank.bg/en/individual-clients/everyday-banking/safe-deposit-boxes/
you can check online for more info
Diversifying funds in different banks is the answer
Yes, but if the banks don't tell you anything regarding the negative interest rate, you don't have time to prepare this.
Furthermore, there's only so much diversifying you can do until you have an obscure amount of bank accounts. (works well for folks in the 6 figure area, not so much for 7-8 figure area)
@@JimPastirmatzis Yeah you're totally right about that!
interesting video thank you , so what is the situation today in 2024? can I register as a foreign forex trader in Bulgaria with a bank account?! what should be a good alternative to avoid these theft fees eventually
Hey! Not sure on forex trading… you’d need to ask each bank individually, there are different restrictions for each.
But negative interest rates are no longer active, but generally leaving money in the bank is a bad idea.
Thanks for the info. What about fibank?
Don’t work with them so don’t know.
Best to give them a phone call personally.
Some banks just eliminated these fees a couple days ago.
@@JimPastirmatzis 👍👍👍
Hey.
Do you know if this is accumulative? Or is it just based on what is in physically sitting in your bank account at the time?
We bank with DSK.
Hello! It so happens that several banks (UBB, Raiffeisen that is not acquired and Postbank) are eliminating those fees.
Not sure how DSK is working in this, not a customer there.
I strongly advise you take a minute and give them a ring and see what they have to say as well as reading their tariffs page.
@@JimPastirmatzis DSK charges 0,7% only on the amount ABOVE Lev 200'000. Seen that the maximum gurantee limit on account protection in the EU is this amount per account (equivalent of EUR 100'000) you should open an extra account if you have so much money in the bank 😅
probably better start using international accounts like Wise or Revolut
Personally too afraid to have large amounts of money in any of these.
I know folks that do and are very happy and find them reliable and others who have been shut down by such companies. The shutting down is not the problem, the collection of capital becomes a problem.
PayPal is a good example.
@@JimPastirmatzis getting shut down by these companies is the same as getting shut down by a bank with branches with no support, customer care will not do much, the best option is to split and have an emergency stash of cash in a security box. Anyway thanks for the updates since I just moved business in BG
@@justintime9720 if banks shut you down they nearly immediately give you a check and you cash it at any bank.
If PayPal shuts you down they hold your money for 190 days and then give it to you and have heard of cases where they were frozen for more.
Big difference as far as I am concerned. Also I have the ability to walk into a branch and speak to someone. You don’t have that same ability to interact with a company only accessible via phone.
And you’re most welcome! There was an update on this made a different video. Most of the negative interest rate has been halted.
@@JimPastirmatzis is reassuring to have a local branch, but it really matters only if you are sure someone there will help you if sh!t hit the fan. I might be wrong but Revolut and N6 have a full banking licenses so capital collection might be easier than PayPal. Wise ( ex Transferwise) is not a bank, but it relies on several banks
Hi sir Bulgaria can student do part time job .
What do you have open on the monitors?
Different things, I don't remember what I had open then but it looks like I had TradingView, comunication apps, tracking & attribution tools. Stuff like that.
@@JimPastirmatzis Gonna do a video about stock trading?
@@strangersadvice no don’t think so. Not anytime soon anyway.
I do quite a bit of investing on the side and day trading but not to the point I’d be comfortable handing out any sort of advice. Not to the public. Maybe friends.
Maybe how I’ve fucked up and mistakes I’ve made along the way….. 😂 but not sure I’ll shoot content around trading for at least another year if at all.
We shall see. I am keeping an open mind.
@@JimPastirmatzis The banks force you out of cash and into trading
lol no, not really
Hello Jim , I also had this bad surprised to be charged without being notified and the bank answered me the same " to check myself the new terms and to keep eyes myself " , My case was not because I was over 200K but new account fees without be warned for years . I could not have access to my bankonline because this Bank did not open to me this option , so I never been aware till I was asking on desk a fee report , I think its scandalous to not warn customer at least an email to notify that the terms have changed or if something is wrong , have you written this to the BCB , because Bank have an authority also ? For those banks who will enter soon in EuroZone , they should start to follow the good process ("protecting" or communicating with their customers), warning customer by email at least ( thats easy to do that ) or to call them if they do not ask email - because its anti customer rights , they are not supposed to read on monthly basis the term of cost of Bank if the Bank decided to change.Non-Bulgarian Bank always warn by mail about new terms. Bulgaria broadcast themselves like super IT competent , then its not hard to put that in place. For the record I closed my bank account in this problematic bank and I keep an eyes on my other bank accounts in case . PS : Because of the tax that you can have above 100 000 Euros ( Bank Bailout ) , I never keep such amount of money on my bank account. They can take certain amount of money above this ceil if the bank has a problem. It happened in Cyprus in 2009 ...
Sorry to hear about your experience, this is the very reason why I created this video... they did end up abolishing the negative interest rates, but yes, it sucks not having the upfront warning about it. Also, the bank that did this is Raiffeisen - so not a Bulgarian bank.