Banreservas in Spain / USA

[NALs]

The inauguration of Banreservas NYC with the presence of the President Luis Abinader and First Lady Raquel Arbaje de Abinader.

At 4:35 the place get blessed by a priest. While it's common for inaugurations of government projects (the DR doesn't have a division between church and state, unlike the USA) and much of the private sector in the DR to get blessed (even Dominican airlines have the priest entering the airplane snd sprinkle holy water), I think this is the first bank in NYC that inaugurates with a blessing.

Cada vez más cerca Apertura de Oficina New York

Cada vez más cerca Apertura de Oficina New York

www.youtube.com

 

[CristoRey]

My experience is that years ago, the ATM/debit card POS systems were horrific. The ATMs were consistently out of cash, the lines for the tellers were excruciatingly slow and I was embarrassed a few times checking out at the grocery store as their debit/POS systems were always down. I have since left BR for Leon/BHD, but recall BR is the bank that pays all the gubmint employees and you can count on mayhem on the 15th and 30th

This is the main reason I chose them as they are far less likely to have any solvency issues.

 

[playacaribe2]

Much ado about little.

The Banreservas representative office, at least in the US, cannot operate as a bank or even a branch of that bank.

What they can do is very limited in scope.

To be a bank in the US or even operate as a branch of a bank, they would need to undergo strict scrutiny and pass US banking stress tests......something that does not take place with a representative l

I guess it certainly is something to be proud of, thus the President attending.................but in reality............it is much ado about little.


Respectfully,
Playacaribe2

 

[NALs]

In Saturday, September 23, 2023 in El Caribe the General Administrator of Banreservas explains the benefits of the representative office, including that the goal is to convert all these offices into branches. In addition, he says a third one will open in Miami in October 2023 and the one open several months ago in Madrid, Spain already has processed more than RD$85 million in loans.

Some of services these offices offer are:

- Dominicans abroad can open savings account in RD$ and US$. The initial and subsequent deposits on these saving accounts will be done through Banreservas remittances branch.
- Dominicans abroad can apply for loans for homes/cars/etc in the Dominican Republic.

He also mentions that several remittances companies have open offices close to the Banreservas in New York.

 

[NALs]

Much ado about little.

The Banreservas representative office, at least in the US, cannot operate as a bank or even a branch of that bank.

What they can do is very limited in scope.

To be a bank in the US or even operate as a branch of a bank, they would need to undergo strict scrutiny and pass US banking stress tests......something that does not take place with a representative l

I guess it certainly is something to be proud of, thus the President attending.................but in reality............it is much ado about little.


Respectfully,
Playacaribe2

All inaugurations from the Dominican government and most from the private sector involves an inauguration event and Catholic blessing, and get coverage from the media. You should know that by now.

 

[playacaribe2]

All inaugurations from the Dominican government and most from the private sector involves an inauguration event and Catholic blessing, and get coverage from the media. You should know that by now.

I must have missed all those bodega and cell phone store inaugurations/blessings then.

That having been said..........while the government deems it worthy of pride....................it is still much ado about little.

Now when, IF they are EVER, granted a banking license................that will be really worthy of the kind of celebration they just gave.


Respectfully,
Playacaribe2

 

[AlterEgo]

Can someone explain to me what it means that they don’t have a banking license? What can (and can’t) they do?

 

[playacaribe2]

Can someone explain to me what it means that they don’t have a banking license? What can (and can’t) they do?

In a nutshell:

A representative office may engage in representational and administrative functions in connection with the banking activities of a foreign bank, including soliciting new business for the foreign bank, conducting research, acting as a liaison between the foreign bank’s head office and customers in the United States, performing preliminary and servicing steps in connection with lending, and performing back-office functions. A representative office may not contract for any deposit or deposit-like liability, lend money, or engage in any other banking activity.

Adding also they cannot buy/sell/exchange pesos or dollars, conduct wire transfers, offer certificates of deposit, etc.


Respectfully,
Playacaribe2

 

[NALs]

Can someone explain to me what it means that they don’t have a banking license? What can (and can’t) they do?

It means their application process is still pending. The US government gave them the green light about a month ago to open as a representative office.

 

[NALs]

In a nutshell:

A representative office may engage in representational and administrative functions in connection with the banking activities of a foreign bank, including soliciting new business for the foreign bank, conducting research, acting as a liaison between the foreign bank’s head office and customers in the United States, performing preliminary and servicing steps in connection with lending, and performing back-office functions. A representative office may not contract for any deposit or deposit-like liability, lend money, or engage in any other banking activity.

Adding also they cannot buy/sell/exchange pesos or dollars, conduct wire transfers, offer certificates of deposit, etc.


Respectfully,
Playacaribe2

Banreservas can't, but theBanreservas remittances branch and the third party remittancers that open near them can. In fact, that's how Dominicans are able to open a Banreservas savings account. First apply in the representative office which sends everything to Santo Domingo to be processed there and the send the money to their savings account via Banreservas own remittancers or third parties such as Quisqueyana or Western Union.

 

[playacaribe2]

It means their application process is still pending. The US government gave them the green light about a month ago to open as a representative office.

Stop.

They have no applications pending.

They were approved as a representative office.

They have NOT yet applied for a banking license and nothing further is pending.......punto.

Respectfully,
Playacaribe2

 

[playacaribe2]

Banreservas can't, but theBanreservas remittances branch and the third party remittancers that open near them can. In fact, that's how Dominicans are able to open a Banreservas savings account. First apply in the representative office which sends everything to Santo Domingo to be processed there and the send the money to their savings account via Banreservas own remittancers or third parties such as Quisqueyana or Western Union.

Banreservas currently has NONE of its own remittancers in the US. They currently hold NO money transfer licenses.

The representative office has NO authority to send or receive remittances.

They are some distance, if ever, from holding a banking license that would allow them to do such transactions.


Respectfully,
Playacaribe2

 

[NALs]

Stop.

They have no applications pending.

They were approved as a representative office.

They have NOT yet applied for a banking license and nothing further is pending.......punto.

Respectfully,
Playacaribe2

Nope, I will not stop because the only reason a representative office license was applied to first is because it’s a faster process. Applying to function as a full bank takes longer and Luis Abinader could not be president by then if he was to lose the 2024 election. However, the converting this and the too be inagurated office in Miami and the one in Spain to full branches is the ultimate goal. As said previously, converting them to branches is pending.

Banreservas currently has NONE of its own remittancers in the US. They currently hold NO money transfer licenses.

The representative office has NO authority to send or receive remittances.

They are some distance, if ever, from holding a banking license that would allow them to do such transactions.


Respectfully,
Playacaribe2

Right, good thing you said it.

Banreservas

Banco líder del sistema financiero y dinamizador del desarrollo social para los diferentes sectores productivos en beneficio de los dominicanos.

www.banreservas.com

 

[playacaribe2]

Nope, I will not stop because the only reason a representative office license was applied to first is because it’s a faster process. Applying to function as a full bank takes longer and Luis Abinader could not be president by then if he was to lose the 2024 election. However, the converting this and the too be inagurated office in Miami and the one in Spain to full branches is the ultimate goal. As said previously, converting them to branches is pending.

You clearly know nothing about US banking law.

An application to be a bank is a separate process potentially involving the Federal Reserve, the Office of the Comptroller of the Currency and each state's Division of Banks where you seek a branch.

A representative office involves a separate and distinct process...........it is NOT a faster process, but does give an indicia of intent.

And yes applying to become a full bank takes longer................much longer.............but your statement "It means their application process is still pending"...........is inaccurate.

Right, good thing you said it.

Banreservas

Banco líder del sistema financiero y dinamizador del desarrollo social para los diferentes sectores productivos en beneficio de los dominicanos.

www.banreservas.com

And saying it again, a US representative office cannot send or receive remittances.

Your link says nothing more than Banreservas can receive remittances in the DR......from licensed independent remitters worldwide............that is accurate. But, Banreservas is not one of them (licensed remitter).


Respectfully,
Playacaribe2

 

[johne]

In summary gentelmen,this matter is of geat importance to many both here and in NYC. So what is ? Licensed remitter...si o no?

 

[keepcoming]

Agree 100% with Johne....can it just be made simple for the rest of us?

 

[playacaribe2]

Agree 100% with Johne....can it just be made simple for the rest of us?

Please see post # 28.

NO, as a representative office they cannot remit/transfer money...........in addition to a myriad of other things that are prohibited.

Representative offices, as well as other financial institutions, are all governed in the US under what is called Regulation K and by each states Division of Banks.

Becoming or having a representative office of a bank requires minimal scrutiny and thus much easier to obtain. Which is why my post that it is much ado about little.

Bottom line.....they are forbidden to conduct those transactions that you would expect from a branch bank.


Respectfully,
Playacaribe2

 

[AlterEgo]

Today someone posted on Facebook that they visited the new location in Manhattan. Long story short, you can only open an account there. You cannot deposit money or withdraw money. Sounds like much ado about nothing, at least at this point.

 

[JD Jones]

Today someone posted on Facebook that they visited the new location in Manhattan. Long story short, you can only open an account there. You cannot deposit money or withdraw money. Sounds like much ado about nothing, at least at this point.

Timed to coincide with the President's visit to NY.

 

[AlterEgo]

Timed to coincide with the President's visit to NY.

It’s a shame because I’ll bet people are traveling there from all around NY and even other states, thinking they can do their banking there. All those people on line can’t be there to open accounts.