Unusual money tactics...

[coolbeans330]

I have to get some advice on something that is unusual. So, I make decent money, but for one reason or another along the way I decided that showing what I had in the bank is bad, and put cash I've earned legally, taxed on through paycheck, etc. in a safety deposit box. I am starting to come around to the idea of saving via a bank, but not sure how to start transitioning my money over. I have so much in the box in can barely close. I am thinking the FDIC insurance of a CD would be better, or taking it all and paying off my mortgage would be better. I don't like the idea of investing. Any advice on what to do with this box? Also, will they try to tax the money I already paid taxes on if I just deposit it all (its in the six digit territory).

[97guns]

be aware hat cash deposits raise red flags, last i heard anything over 3K gets reported. ongoing deposits of the same denomination will also be reported

[Nika]

What is "one reason or another"? I can't come up with any explanation that makes any sense other than hiding the money from someone/something. Creditors/child support/lien/judgements/spouse/qualifying for benefits or aid you would not otherwise receive.... All reasons that come to mind involve some level of fraud.

The authorities' first thought would be tax evasion (most common reason) but since you say its not it... Second thought would be drug money profits. Most people would think that you must have a reason to do this. People tend to distrust the "deep-seeded paranoia" excuse (ironic, isn't it? lol) .

[97guns]

i also keep no money in the bank and would also be overflowing a safety deposit box if i held it in there. i am not evading anything, i simply do not trust the banking system and want to do as little with the "system" as i can, thats why i drive a 40 year old car to evade the smog regulations and cheap out on insurance and registering

i dont save via a bank or US dollars, my savings is in precious metals that has the same value anywhere in the world

[Nika]

i also keep no money in the bank and would also be overflowing a safety deposit box if i held it in there. i am not evading anything, i simply do not trust the banking system and want to do as little with the "system" as i can, thats why i drive a 40 year old car to evade the smog regulations and cheap out on insurance and registering

i dont save via a bank or US dollars, my savings is in precious metals that has the same value anywhere in the world

97 guns, I do believe your deep-seeded paranoia.
*confused* you are driving uninsured and unregistered?

[coolbeans330]

Deep rooted mistrust of people and institituions that I inherited. I actually was mistrustmust of if spouse knew but now he does - seems the jig is up and what is the point. He knows I have the money, and it gets old dealing with cash all the time. I am thinking of paying off my mortgage with the majority of it. But would I just go up to bank lady with all this cash and say - wire my mortgage company a pay off amount without getting strange looks??? Did anyone ever use cash to pay off a house before?

[coolbeans330]

...and maybe my dislike for the mortgage company tactics is overriding my urge to have cash on hand...

[97guns]

97 guns, I do believe your deep-seeded paranoia.
*confused* you are driving uninsured and unregistered?

no, i can well afford $250 a year for insurance and another $175 to register

[autoxer]

Deep rooted mistrust of people and institituions that I inherited. I actually was mistrustmust of if spouse knew but now he does - seems the jig is up and what is the point. He knows I have the money, and it gets old dealing with cash all the time. I am thinking of paying off my mortgage with the majority of it. But would I just go up to bank lady with all this cash and say - wire my mortgage company a pay off amount without getting strange looks??? Did anyone ever use cash to pay off a house before?

You can certainly take all of that cash, deposit it and send it to the mortgage company, but they may have some more questions than usual. This probably won't help your mistrust, but the banks are required to report large transactions to the IRS. There's nothing illegal about storing or moving large amounts of cash, but they are required to report it and I have no idea if the IRS will react to the report.

http://en.wikipedia.org/wiki/Bank_Secrecy_Act

[snafu]

coolb, if you dislike banks based on a personal experience, why not try electronic banking, rather than traditional 'brick & mortar' banking. Another alternative is Credit Union if there is one conveniently located. The issue with CU is availability of linked ATMs. Folks who are computer literate are saving so much time, effort and aggravation paying expenses with a few computer clicks for the sum and date desired.

If this is too much of a change, perhaps open an electronic account with the sum needed for March expenses + a $ 100. operational float. If you find it convenient pays can easily be electronic deposit and you can adjust according to your comfort level.

If you have huge cash sums in a safety deposit box, I point out that you are losing spending power to inflation. In the past we might have suggested layered CDs [Certficates of Deposit] but they are not keeping up with inflation just now. You might read some of the Threads on Investing...or books like The Automatic Millionaire [from the library]