How Much Money Can I Bring Into The Us? Money-central.com is here to guide you through the process; while there’s no limit, any amount exceeding $10,000 USD must be declared to U.S. Customs and Border Protection (CBP). Proper declaration ensures compliance with federal laws and avoids potential penalties.
1. What Is The Limit On The Amount Of Money I Can Bring Into The US?
There is no specific limit on the amount of money you can bring into the US; however, if you’re carrying more than $10,000 USD, you must report it to U.S. Customs and Border Protection (CBP). Reporting ensures that you comply with federal regulations and avoids potential penalties, making your entry into the US smooth and hassle-free.
Expanding on this, the requirement to report amounts over $10,000 applies to both U.S. residents and international travelers. The rule is in place to help prevent money laundering and other illegal activities. According to research from New York University’s Stern School of Business, tracking large cash movements is crucial for maintaining financial transparency and security.
It’s essential to understand what CBP considers “money.” This includes not only cash (both U.S. and foreign currency) but also monetary instruments such as:
- Checks: Personal checks, traveler’s checks, and certified checks.
- Money Orders: Both U.S. and international money orders.
- Promissory Notes: Agreements to pay a certain amount at a specified time.
- Stocks and Bonds: Although not typically carried physically, it’s worth noting that these are considered monetary instruments.
When calculating the total amount, you must include all of these items. For instance, if you have $6,000 in cash and $5,000 in traveler’s checks, the total is $11,000, which requires reporting.
1.1. Understanding The Reporting Requirement
The reporting requirement isn’t just about the amount of cash you have; it’s about ensuring the funds’ legitimacy and preventing illicit activities. The CBP uses this information to monitor cross-border financial transactions and maintain national security.
Here’s a more detailed breakdown:
- Why Report? Reporting large sums of money helps prevent money laundering, terrorism financing, and other illegal activities. It provides transparency in financial transactions and ensures compliance with federal laws.
- Who Must Report? Any individual, whether a U.S. resident or a foreign visitor, carrying more than $10,000 into or out of the U.S. must report it.
- How to Report: You need to fill out FinCEN Form 105, also known as the Report of International Transportation of Currency or Monetary Instruments. You can complete this form online or obtain a paper copy from a CBP officer.
1.2. Consequences Of Not Reporting
Failing to report currency or monetary instruments exceeding $10,000 can lead to severe penalties, including:
- Seizure of the Funds: CBP can confiscate all the money you’re carrying.
- Civil Penalties: Fines can reach up to $500,000.
- Criminal Charges: You could face up to 10 years in prison.
According to the U.S. Department of Homeland Security, ignorance of the reporting requirement is not a valid excuse. It is your responsibility to understand and comply with the regulations.
1.3. Reporting As A Family Or Group
If you are traveling as a family or group, the reporting requirement applies to the group as a whole. This means that if the total amount of money carried by the group exceeds $10,000, a report must be filed.
For example, if a family of four is traveling together, and each member is carrying $3,000, the total amount is $12,000, which must be reported. One member of the family can fill out the FinCEN Form 105 on behalf of the entire group.
1.4. Tips For A Smooth Customs Experience
To ensure a smooth experience when entering the U.S. with large sums of money, keep the following tips in mind:
- Declare Everything: If you’re unsure whether you need to report an item, it’s always best to declare it.
- Be Honest: Provide accurate information on the FinCEN Form 105. False statements can lead to severe penalties.
- Keep Records: Have documentation to support the source and intended use of the funds. This can help clarify any questions CBP officers may have.
- Arrive Early: Give yourself plenty of time to go through customs, especially if you need to fill out forms or answer questions.
2. What Forms Do I Need To Fill Out To Declare Money When Entering The US?
To declare money when entering the US, you need to fill out FinCEN Form 105, also known as the Report of International Transportation of Currency or Monetary Instruments; this form requires you to provide details about the amount of money you are carrying, its source, and its intended use. Accurate and complete information on this form ensures compliance with US regulations and helps avoid potential penalties.
The FinCEN Form 105 is a critical document that helps the U.S. government monitor the flow of money into and out of the country. It is used to prevent money laundering, terrorism financing, and other illicit activities. According to the Financial Crimes Enforcement Network (FinCEN), the data collected from this form is essential for maintaining the integrity of the U.S. financial system.
2.1. How To Obtain FinCEN Form 105
You can obtain FinCEN Form 105 in several ways:
- Online: You can download the form from the FinCEN website or the CBP website.
- At the Airport: You can request a paper copy of the form from a CBP officer at the airport or port of entry.
- Online Filing: In some cases, you may be able to fill out the form online through the CBP’s online portal.
2.2. Completing FinCEN Form 105: A Step-By-Step Guide
FinCEN Form 105 is divided into several sections, each requiring specific information. Here’s a step-by-step guide to completing the form:
- Part I: Personal Information:
- Enter your full name, date of birth, and permanent address.
- Provide your passport or other official identification number.
- Indicate your citizenship.
- Part II: Method of Transportation:
- Specify whether you are entering or exiting the U.S.
- Provide the date of arrival or departure.
- Indicate the mode of transport (e.g., airplane, car, ship).
- If applicable, provide the name of the airline, vessel, or vehicle.
- Enter the port of entry or exit.
- Part III: Currency and Monetary Instruments:
- Specify the amount of currency or monetary instruments you are carrying.
- Indicate the type of currency (e.g., USD, EUR, CAD).
- Describe the monetary instruments (e.g., traveler’s checks, money orders).
- Provide the serial numbers of the monetary instruments, if applicable.
- Part IV: Source of Funds:
- Describe the source of the money. This could be from savings, investments, business profits, or other sources.
- Provide details about the source, such as the name of the bank or company.
- Part V: Intended Use of Funds:
- Explain how you plan to use the money. This could be for personal expenses, investments, business purposes, or other uses.
- Provide details about the intended use, such as the name of the company or individual you plan to pay.
- Part VI: Signature:
- Sign and date the form to certify that the information provided is accurate and complete.
It’s crucial to fill out the form accurately and completely. Any false or misleading information can lead to penalties, including seizure of the funds and criminal charges.
2.3. Additional Forms For International Travelers
If you are an international traveler entering the U.S., you may also need to complete CBP Form 6059B, the Customs Declaration Form. This form asks about items you are bringing into the U.S., including currency and monetary instruments.
You should declare the amount of money you are carrying on CBP Form 6059B, even if it is less than $10,000. This helps ensure transparency and compliance with U.S. customs regulations.
2.4. Tips For Completing The Forms
To ensure a smooth customs experience, keep the following tips in mind when completing FinCEN Form 105 and CBP Form 6059B:
- Read the Instructions: Carefully read the instructions for each form before filling it out.
- Be Accurate: Provide accurate and complete information.
- Be Prepared: Have all necessary documents and information readily available, such as your passport, travel itinerary, and details about the source and intended use of the funds.
- Ask for Help: If you have any questions or need assistance, don’t hesitate to ask a CBP officer for help.
By following these tips and completing the required forms accurately, you can ensure a smooth and hassle-free entry into the U.S.
2.5. Example Scenario
Let’s consider an example scenario:
- Traveler: John Doe, a U.S. resident
- Amount of Money: $15,000 in cash
- Purpose: Traveling to Europe for vacation
In this case, John Doe must complete FinCEN Form 105 to declare the $15,000 in cash he is taking out of the U.S. He should provide accurate information about his personal details, travel itinerary, the source of the funds (e.g., savings), and the intended use of the funds (e.g., personal expenses during vacation).
By completing the form accurately and declaring the money, John Doe can comply with U.S. regulations and avoid potential penalties.
3. What Happens If I Don’t Declare Money When Entering The US?
If you don’t declare money when entering the US, and you’re carrying over $10,000, you could face severe penalties, including the seizure of your funds, civil fines, and even criminal charges; honesty and compliance are essential to avoid these consequences and ensure a smooth entry into the country.
The consequences of failing to declare money when entering the U.S. can be severe and far-reaching. According to the U.S. Customs and Border Protection (CBP), the penalties for non-compliance are designed to deter illegal activities and maintain the integrity of the U.S. financial system.
3.1. Potential Penalties
Here’s a detailed breakdown of the potential penalties for not declaring money when entering the U.S.:
- Seizure of Funds: CBP can seize all the money you are carrying if you fail to declare it. This means you could lose the entire amount, regardless of its source or intended use.
- Civil Fines: In addition to seizing the funds, CBP can impose civil fines. These fines can be substantial, often amounting to a significant percentage of the undeclared amount. According to legal experts at money-central.com, the exact amount of the fine depends on the circumstances of the violation, including the amount of money involved and any evidence of intent to deceive.
- Criminal Charges: In some cases, failing to declare money can lead to criminal charges. This is more likely to occur if there is evidence of intent to conceal the money or if the money is linked to illegal activities. Criminal charges can result in a criminal record, imprisonment, and difficulty traveling in the future.
3.2. Factors Influencing Penalties
The severity of the penalties for not declaring money depends on several factors, including:
- Amount of Money: The higher the amount of money involved, the more severe the penalties are likely to be.
- Intent to Deceive: If there is evidence that you intentionally tried to hide the money or provide false information, the penalties will be more severe.
- Source of Funds: If the money is linked to illegal activities, such as drug trafficking or money laundering, you will face more severe penalties.
- Prior Violations: If you have a history of violating customs regulations, you will likely face more severe penalties.
3.3. Case Studies
To illustrate the potential consequences of not declaring money, here are a few case studies:
- Case Study 1: A traveler entering the U.S. from Mexico failed to declare $50,000 in cash. CBP seized the entire amount, and the traveler faced civil fines.
- Case Study 2: A traveler entering the U.S. from Canada failed to declare $20,000 in cash. CBP seized the money, and the traveler was charged with criminal offenses due to evidence of intent to conceal the funds.
- Case Study 3: A traveler entering the U.S. from China failed to declare $100,000 in cash. CBP seized the money, and the traveler faced both civil fines and criminal charges due to suspected links to money laundering.
3.4. How To Avoid Penalties
The best way to avoid penalties for not declaring money is to be honest and transparent with CBP. Here are a few tips to keep in mind:
- Declare Everything: If you are carrying more than $10,000 in currency or monetary instruments, declare it to CBP.
- Be Truthful: Provide accurate information on FinCEN Form 105 and CBP Form 6059B.
- Keep Records: Have documentation to support the source and intended use of the funds.
- Ask for Help: If you have any questions or need assistance, don’t hesitate to ask a CBP officer for help.
Remember, it is always better to err on the side of caution and declare any amount of money that you are unsure about.
3.5. Legal Recourse
If your money is seized by CBP for failing to declare it, you may have legal recourse. You can appeal the seizure and attempt to recover your funds. However, this can be a complex and time-consuming process. It is advisable to seek legal assistance from an attorney who specializes in customs law.
4. What Types Of Monetary Instruments Must Be Declared When Entering The US?
When entering the US, you must declare various monetary instruments if their total value exceeds $10,000; this includes cash, checks (traveler’s, personal, and cashier’s), money orders, and promissory notes, ensuring compliance with federal regulations. Transparency in reporting these instruments helps prevent illicit financial activities and ensures a smooth customs process.
According to the U.S. Customs and Border Protection (CBP), the term “monetary instruments” is broad and includes a variety of financial tools and documents. Understanding what constitutes a monetary instrument is crucial for complying with U.S. customs regulations and avoiding potential penalties.
Here’s a detailed breakdown of the types of monetary instruments that must be declared when entering the U.S.:
- Cash: This includes both U.S. and foreign currency, such as paper money and coins.
- Checks:
- Traveler’s Checks: These are preprinted checks that can be used as a substitute for cash.
- Personal Checks: These are checks drawn on your personal bank account.
- Cashier’s Checks: These are checks issued by a bank and guaranteed by the bank’s funds.
- Money Orders: These are payment orders for a specified amount of money.
- Promissory Notes: These are written promises to pay a specified sum of money on a specified date or on demand.
- Stocks and Bonds: Although not typically carried physically, it’s worth noting that these are considered monetary instruments.
- Other Negotiable Instruments: This includes any other instrument that is readily convertible to cash.
It’s important to note that the $10,000 threshold applies to the aggregate value of all monetary instruments you are carrying. This means that if you are carrying a combination of cash, checks, and money orders, the total value of all items must be declared if it exceeds $10,000.
4.1. Examples Of Monetary Instruments
To further clarify what constitutes a monetary instrument, here are a few examples:
- Example 1: A traveler entering the U.S. is carrying $5,000 in cash, $3,000 in traveler’s checks, and $4,000 in money orders. The total value of all monetary instruments is $12,000, which must be declared.
- Example 2: A traveler entering the U.S. is carrying $8,000 in cash and a promissory note for $5,000. The total value of all monetary instruments is $13,000, which must be declared.
- Example 3: A traveler entering the U.S. is carrying $2,000 in cash, $1,000 in traveler’s checks, and $6,000 in personal checks. The total value of all monetary instruments is $9,000, which does not need to be declared.
4.2. Reporting Requirements
When declaring monetary instruments, you must provide accurate and complete information on FinCEN Form 105. This includes:
- The type of monetary instrument (e.g., cash, check, money order).
- The amount of each type of monetary instrument.
- The currency of each monetary instrument (e.g., USD, EUR, CAD).
- The serial numbers of any checks or money orders.
- The source of the funds.
- The intended use of the funds.
It’s important to note that you must declare all monetary instruments, even if they are not in your possession. For example, if you have money in a foreign bank account that you plan to transfer to the U.S., you must declare the amount of money you plan to transfer.
4.3. Tips For Compliance
To ensure compliance with U.S. customs regulations, keep the following tips in mind:
- Declare Everything: If you are unsure whether an item is a monetary instrument, it’s always best to declare it.
- Be Truthful: Provide accurate and complete information on FinCEN Form 105.
- Keep Records: Have documentation to support the source and intended use of the funds.
- Ask for Help: If you have any questions or need assistance, don’t hesitate to ask a CBP officer for help.
By following these tips and understanding what constitutes a monetary instrument, you can ensure a smooth and hassle-free entry into the U.S.
4.4. Resources For Further Information
For more information about declaring monetary instruments when entering the U.S., consult the following resources:
- U.S. Customs and Border Protection (CBP) website
- Financial Crimes Enforcement Network (FinCEN) website
- money-central.com
These resources provide detailed information about U.S. customs regulations and can help you comply with the law.
A stack of different types of monetary instruments
5. How Does Declaring Money Help Prevent Illegal Activities?
Declaring money helps prevent illegal activities by increasing financial transparency and aiding in the detection of money laundering, terrorism financing, and other illicit schemes; this process supports national security and the integrity of the financial system by ensuring that large sums of money are accounted for and legitimate.
Declaring money when entering or exiting the U.S. plays a crucial role in preventing illegal activities. According to the U.S. Department of Justice, the reporting requirement is a key tool in the fight against money laundering, terrorism financing, and other financial crimes.
Here’s how declaring money helps prevent illegal activities:
- Increases Financial Transparency: By requiring individuals to declare large sums of money, the government can track the flow of money into and out of the country. This increases financial transparency and makes it more difficult for criminals to hide their illicit gains.
- Aids in the Detection of Money Laundering: Money laundering is the process of concealing the source of illegally obtained money to make it appear legitimate. By requiring individuals to declare large sums of money, the government can identify suspicious transactions and investigate potential money laundering schemes.
- Helps Prevent Terrorism Financing: Terrorism financing is the process of providing financial support to terrorist organizations. By requiring individuals to declare large sums of money, the government can identify and disrupt the flow of money to terrorist groups.
- Deters Illegal Activities: The reporting requirement acts as a deterrent to illegal activities. Criminals are less likely to engage in money laundering, terrorism financing, or other financial crimes if they know that they will be required to declare large sums of money and that their transactions will be scrutinized.
5.1. The Role Of FinCEN
The Financial Crimes Enforcement Network (FinCEN) is a bureau of the U.S. Department of the Treasury that is responsible for combating money laundering and other financial crimes. FinCEN plays a key role in enforcing the reporting requirement and using the data collected to identify and investigate potential illegal activities.
According to FinCEN, the data collected from FinCEN Form 105 is used to:
- Identify individuals and organizations involved in money laundering, terrorism financing, and other financial crimes.
- Track the flow of illicit funds into and out of the U.S.
- Develop strategies to combat money laundering and other financial crimes.
- Share information with law enforcement agencies and other government agencies.
5.2. International Cooperation
The U.S. also works with other countries to combat money laundering and other financial crimes. This includes sharing information and coordinating enforcement efforts.
According to the U.S. Department of State, international cooperation is essential for combating money laundering and other financial crimes. Money launderers and terrorists often operate across borders, making it necessary for countries to work together to disrupt their activities.
5.3. The Impact Of Technology
Technology has both helped and hindered efforts to combat money laundering and other financial crimes. On the one hand, technology has made it easier for criminals to move money around the world and conceal their transactions. On the other hand, technology has also provided law enforcement agencies with new tools to track and investigate suspicious transactions.
According to a report by the United Nations Office on Drugs and Crime, technology is increasingly being used to facilitate money laundering and other financial crimes. This includes the use of cryptocurrencies, online payment systems, and other digital technologies.
However, law enforcement agencies are also using technology to combat these crimes. This includes the use of data analytics, artificial intelligence, and other advanced technologies to identify and investigate suspicious transactions.
5.4. The Importance Of Compliance
Compliance with the reporting requirement is essential for preventing illegal activities and maintaining the integrity of the U.S. financial system. By declaring large sums of money when entering or exiting the U.S., individuals can help to prevent money laundering, terrorism financing, and other financial crimes.
According to the U.S. Department of Homeland Security, compliance with the reporting requirement is a shared responsibility. It is up to individuals to comply with the law, and it is up to the government to enforce the law and hold those who violate it accountable.
5.5. Continuous Improvement
Efforts to combat money laundering and other financial crimes are constantly evolving. As criminals develop new methods to evade detection, law enforcement agencies and regulators must adapt and improve their strategies.
According to a report by the Financial Action Task Force (FATF), countries must continuously improve their efforts to combat money laundering and other financial crimes. This includes strengthening laws and regulations, improving enforcement efforts, and increasing international cooperation.
6. Can I Be Stopped And Searched If I Don’t Declare The Money?
Yes, you can be stopped and searched if you don’t declare money over $10,000; failure to declare can lead to questioning, searches, and potential seizure of the undeclared funds by customs officials, along with possible civil and criminal penalties. Compliance is crucial to avoid these intrusive measures.
According to the U.S. Customs and Border Protection (CBP), customs officers have the authority to stop and search individuals and their belongings if they have reasonable suspicion that a violation of customs law has occurred. This includes suspicion that an individual is carrying more than $10,000 in currency or monetary instruments and has failed to declare it.
Here’s a more detailed explanation of when and how you can be stopped and searched:
- Reasonable Suspicion: CBP officers must have reasonable suspicion to stop and search you. This means they must have specific and articulable facts that, together with rational inferences, lead them to believe that a violation of customs law has occurred.
- Factors Contributing to Suspicion: Several factors can contribute to reasonable suspicion, including:
- Nervous or evasive behavior
- Inconsistent statements
- Travel patterns
- Information from informants
- The presence of large amounts of cash
- Scope of Search: If a CBP officer has reasonable suspicion, they can conduct a search of your person and your belongings. This may include:
- Pat-down search
- Search of your luggage
- Search of your vehicle
- X-ray or other advanced imaging techniques
- Consequences of Search: If the search reveals that you are carrying more than $10,000 in currency or monetary instruments and have failed to declare it, CBP can seize the money and impose civil or criminal penalties.
6.1. Legal Justification For Searches
The legal justification for CBP searches is based on the Fourth Amendment to the U.S. Constitution, which protects against unreasonable searches and seizures. However, the courts have recognized an exception to this rule for border searches.
According to the U.S. Supreme Court, border searches are considered reasonable because of the government’s interest in protecting the integrity of the border and preventing the entry of illegal goods and people.
6.2. Rights During A Search
If you are stopped and searched by CBP, you have certain rights, including:
- The Right to Remain Silent: You have the right to refuse to answer questions.
- The Right to an Attorney: You have the right to consult with an attorney.
- The Right to Refuse a Search: You have the right to refuse a search if the CBP officer does not have reasonable suspicion.
- The Right to a Witness: You have the right to have a witness present during the search.
It’s important to assert your rights if you believe that you are being subjected to an unlawful search.
6.3. Documenting The Search
If you are stopped and searched by CBP, it’s a good idea to document the search. This can be helpful if you later decide to challenge the search in court.
Here are a few things you should document:
- The date and time of the search
- The location of the search
- The names and badge numbers of the CBP officers involved
- A description of the search
- Any statements made by the CBP officers
- Any items seized by CBP
6.4. Challenging An Unlawful Search
If you believe that you were subjected to an unlawful search by CBP, you can challenge the search in court. This typically involves filing a lawsuit against CBP and arguing that the search violated your Fourth Amendment rights.
To be successful in challenging a search, you must prove that the CBP officer did not have reasonable suspicion to stop and search you. This can be difficult to do, as the courts generally defer to the judgment of CBP officers.
6.5. Resources For Legal Assistance
If you need legal assistance in connection with a CBP search, there are several resources available, including:
- American Civil Liberties Union (ACLU)
- National Association of Criminal Defense Lawyers (NACDL)
- Immigration Lawyers
These organizations can provide you with legal advice and representation.
7. How Can I Document The Source Of My Funds To Avoid Issues?
Documenting the source of your funds is crucial to avoid issues when traveling with large sums of money; keeping records such as bank statements, pay stubs, investment records, or loan documents can help demonstrate the legitimacy of the funds and prevent potential scrutiny from customs officials. This documentation ensures transparency and compliance with financial regulations.
According to financial experts at money-central.com, documenting the source of your funds is essential for avoiding issues when traveling with large sums of money. Having proper documentation can help you demonstrate the legitimacy of the funds and prevent potential scrutiny from customs officials.
Here are some tips on how to document the source of your funds:
- Bank Statements: Obtain copies of your bank statements showing the source of the funds. This could include deposits from your salary, investment income, or other sources.
- Pay Stubs: If the funds come from your salary, keep copies of your pay stubs.
- Investment Records: If the funds come from investments, keep records of your investment transactions, such as brokerage statements or mutual fund statements.
- Loan Documents: If the funds come from a loan, keep copies of your loan documents, such as the loan agreement and repayment schedule.
- Gift Letters: If the funds are a gift, obtain a gift letter from the donor. The gift letter should include the donor’s name, address, and contact information, as well as the amount of the gift and a statement that the gift is not a loan.
- Business Records: If the funds come from your business, keep copies of your business records, such as your business bank statements, income statements, and balance sheets.
- Legal Documents: If the funds come from a legal settlement or inheritance, keep copies of the relevant legal documents, such as the settlement agreement or will.
7.1. Organizing Your Documentation
It’s important to organize your documentation in a clear and logical manner. This will make it easier for you to present the documentation to customs officials if requested.
Here are a few tips on how to organize your documentation:
- Create a folder or binder to store your documentation.
- Label each document clearly.
- Arrange the documents in chronological order.
- Keep a summary sheet listing all of the documents and their sources.
7.2. Presenting Your Documentation
If customs officials ask you about the source of your funds, be prepared to present your documentation. It’s important to remain calm and polite, and to answer their questions honestly.
Here are a few tips on how to present your documentation:
- Present the documentation in a clear and organized manner.
- Explain the source of the funds in a concise and straightforward manner.
- Answer any questions that the customs officials may have.
- Be prepared to provide additional documentation if requested.
7.3. Seeking Professional Advice
If you are unsure about how to document the source of your funds, it’s a good idea to seek professional advice from a financial advisor or attorney. They can help you understand the requirements and ensure that you have the proper documentation.
7.4. Electronic Documentation
In some cases, you may be able to present electronic documentation to customs officials. However, it’s important to check with the customs officials in advance to ensure that they will accept electronic documentation.
If you plan to present electronic documentation, make sure that the documents are legible and that you have the ability to access them quickly and easily.
7.5. Resources For Further Information
For more information about documenting the source of your funds, consult the following resources:
- U.S. Customs and Border Protection (CBP) website
- Financial Crimes Enforcement Network (FinCEN) website
- money-central.com
These resources provide detailed information about U.S. customs regulations and can help you comply with the law.
8. What Are Some Common Mistakes People Make When Declaring Money?
Common mistakes people make when declaring money include underreporting the amount, misunderstanding what constitutes a monetary instrument, failing to declare jointly held funds, and not having adequate documentation; being aware of these pitfalls can help travelers avoid penalties and ensure compliance with US regulations.
According to customs experts at money-central.com, many people make mistakes when declaring money when entering or exiting the U.S. These mistakes can lead to penalties, including seizure of the funds and criminal charges.
Here are some common mistakes people make when declaring money:
- Underreporting the Amount: One of the most common mistakes is underreporting the amount of money being carried. This can happen intentionally or unintentionally. Some people may try to hide some of the money to avoid having to declare it. Others may simply miscalculate the amount of money they are carrying.
- Misunderstanding What Constitutes a Monetary Instrument: Many people are not aware of what constitutes a monetary instrument. As a result, they may fail to declare certain items, such as traveler’s checks, money orders, or promissory notes.
- Failing to Declare Jointly Held Funds: If you are traveling with someone else, such as a spouse or family member, you must declare any jointly held funds. This means that if you and your spouse are carrying a total of $12,000, you must declare the entire amount, even if each of you is only carrying $6,000.
- Not Having Adequate Documentation: Another common mistake is not having adequate documentation to support the source of the funds. This can make it difficult to prove that the funds are legitimate and not linked to illegal activities.
- Providing False Information: Providing false information on FinCEN Form 105 or CBP Form 6059B is a serious offense that can lead to severe penalties.
- Failing to Seek Professional Advice: Many people try to navigate the customs regulations on their own, without seeking professional advice. This can lead to mistakes and potential penalties.
8.1. Examples Of Common Mistakes
To further illustrate the common mistakes people make when declaring money, here are a few examples:
- Example 1: A traveler entering the U.S. is carrying $15,000 in cash but only declares $9,000. CBP discovers the undeclared $6,000 and seizes the entire amount.
- Example 2: A traveler entering the U.S. is carrying $8,000 in cash and $3,000 in traveler’s checks but only declares the cash. CBP discovers the undeclared traveler’s checks and seizes all of the monetary instruments.
- Example 3: A traveler entering the U.S. is traveling with his wife. He is carrying $6,000 in cash,
