What the hell is going on?

cobraboy

Pro-Bono Demolition Hobbyist
Jul 24, 2004
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Tampa on your mind Cobra......:cheeky:
Not at all. I love it here! But the streets in Jarabacoa get really dark when the power goes out.

Just saying that physical infrastructure needs to be fixed first before any electronic money system is implemented. Gotta have country-wide 24/7/365 power first.
 

donquixote

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Aug 2, 2005
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How will this solve the problem of buying a RD10 peso water in playero?
The guy tried to break my arm when I paid with a RD50 Peso note and refused to accept 40 chiclets recently. This is a major issue that will only be solved with the mint being paid.

Bologna Rest. uses USD for change FYI. Make US .25 coins legal tender if you wanna quick fix, $1 bills do not help IMHO, maybe a bandaid for this crisis.

tambo'

then use the .25us coins as equal 8 peso,,,dont mater what you do, but if there is a common policy that most give and accept at the same ratio, it will work.
 

Tamborista

hasta la tambora
Apr 4, 2005
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then use the .25us coins as equal 8 peso,,,dont mater what you do, but if there is a common policy that most give and accept at the same ratio, it will work.

US coins are not legal tender in RD. Apparantly Halls and Chiclets are!
The After One club printed their own RD50 cards as "in house" currency.

I hoarded a boatload of RD .10, .25 coins for my next adventure.

t'
 

bart6

New member
Aug 17, 2007
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if the power goes out during an electronic money exchange do you still get your chiclets.
 

Tarheel

Well-known member
Dec 19, 2005
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There may be a plan to do what Pichardo says. Governments do plans all the time. However, having a plan and executing the plan are two different things.

BTW, in January of this year I stayed in a small hotel in Gazcue. I frequented a small supermarket around the corner and almost all people were using debit cards to pay for their purchases large and small.
 

PICHARDO

One Dominican at a time, please!
May 15, 2003
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Very few...

The whole aim of voiding all hard currency is to move the entire population into having bank accounts, debit, credit, savings...

The move will render money laundering impossible...
All funds will be recorded as to origin and end beneficiary.
To address the planning to reality:

It's easier to move to the electronic system than anything else. The only thing holding the plan is that a major banking overhaul is in the works for the DR (soon to be announced).

The gov will pay all public employees via a national CB account directly, as well as having all private employers do the same. If you don't hold a Cedula, you can't get paid. If you get paid from two jobs at disparate cities/provinces flags will be raised...

All merchants will use their choice of ACHs. All gov benefits to low income families will be disburse the same way. All mobile vendors will just need to strap their cell phone to a selection of mobile card terminals to end any transaction. All sales in the DR will pay their corresponding taxes accordingly...

Taxis, public cars, buses, etc... Will have terminals installed on them as well, so robberies will be a thing of the past for the common folk and banks...

A criminal database with bio data and DNA is being put together to this aim as well. All transactions in ATM, bank and sales points will be required to carry a newer camera system that also records thermal prints of the people's faces.

Crime in the DR will be on a very short leash...

Electricity won't be a problem as stationary terminals will all require having a 10 hour minimum backup battery with surge protection. The gov is already in contact with several makers of the systems to get a better price and consolidate the warranty for the DR's market.

Cash is the root of most robberies as such; a cashless society would present a less welcoming field to predators.

Given that all transactions will use the paperless auditory now required for all sales in the DR, the transfer of funds from one account to the other will require a beneficiary to have an account with a minimum time since establishment to be able to transfer funds. A criminal will have a hard time to get this going...

Several safety measures will be in place to avoid unauthorized charges and the like. A special agency will be trained and put into action within the National Police, but with banking expertise.

Instead of using a PIN as the last safety for users, the system will incorporate several safety and challenges per transaction. The penalties for criminal or unauthorized use of accounts credit will be very, very stiff and lengthy...

One of the features that I can disclose is that transactions will require a random challenge from a pool of the users initial input for the account, no PIN (challenge) will repeat for a long time in the succession of transactions. If an already used PIN (challenge) is used for a transaction after initial use of the same during a period of time, the card will be placed on lock and an alert will go off independently of the terminal owner.


The DR system will call amounts in a person's account "Debits" and "Credits" as given. Pesos will still be the monetary unit, just not in the real but virtual world of the financial systems...

The initial phase will be implemented via the students; to whom the revamped banking system via the gov will start to issue educational cards...

The public payroll will be next and the private system last...

As a measure of security, no foreign banks will be allowed to handle public accounts unless they submit under the new banking overhaul that's coming.

Banks will benefit from having a huge share of the entire population of the DR in their clients base. Since all is going to be carried electronically, even children will be allowed special soft cards (with very strict limits on balances).

The windfall from past uncollected taxes for the gov will be immense, and the extra income to banks servicing the national market will allow better terms of credit and financing for all the social/economic strata of the nation.

For those of you that think that sidestepping the system to sell drugs as any other merchandise and thus "laundering" the money easier: Think that origin is going to be the key word...

If you sell shoes, they have to originate somewhere and from somebody with an existent account to fabricate/distribute such merchandise. Every single transaction requires an individual number for tax use. The gov can trace anything to the origin and end terminal doing the selling... (think!)

Everything sold in the DR will be accounted for...

Have a home for rent and only disclose half the rental income to the gov? Think that renters will pay your rent via the electronic way and the required transaction ID # will be produced from the payee in the REAL amount and classified as rent payment for tax disclosure... It will be a matter of linking the two, origin and end beneficiary...

Like I said: Get ready to pay taxes like you never did before in the DR!!!!

Visa? MC? LOL!!!! Got something coming that's going to rock your boat!! LOL!!!
 

PICHARDO

One Dominican at a time, please!
May 15, 2003
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A side notice here about illegal migrants in the DR (Haitians or from anywhere else):

The new system will make it impossible to carry on in the DR without a Cedula, since that number is going to be the initial set of codes to everything and all you do in the DR. If you don't have a Cedula you can't get one of the allowed accounts to carry transactions in the country. Foreign credit cards will always allow you to buy stuff in the DR, but not get funds into it... Remember the origin/beneficiary thingy? Well it works out in a way that flags will automatically be raise once any discrepancy is notice within the system...

Foreigners will need to stick to residency rules firmly and lawfully...

Taxes will be collected at origin; VAT will be collected at time of sale. So if you think that you can bypass the system by paying non-residents with goods, think again!

Biz audits will be something to dread more than the plague...

Haitians in the country will be able to do their legal residency in the DR like any other foreigner. Orderly!
 

sweetdbt

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Sep 17, 2004
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That's a nice story PICHARDO. So was 1984. It is now 24 years after and the world really doesn't look much like Orwell's vision. As far as I know, there is not a country in the world that has a system in place like you have described, and we are supposed to believe the DR will be the first?

Answer this. In an economy so dependant on tourism, how does a foreign traveler pay for anything under this scenario?
 

PICHARDO

One Dominican at a time, please!
May 15, 2003
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As you pointed out, no country in the world has moved to that kind of system... Yet...
The DR will in fact become the first, if not second (if any other country comes out first).

Pay attention to what's developing internally in the DR...
 

Eddy

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Jan 1, 2002
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Looks like the coins are starting to roll in. Got 10,000 pesos worth of 5's a couple of days ago minted in 2008. Let's hope they follow through with 10's and 25's soon. Keep your fingers crossed.
 

jaguarbob

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Mar 2, 2004
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what the hell is going on

As you pointed out, no country in the world has moved to that kind of system... Yet...
The DR will in fact become the first, if not second (if any other country comes out first).

Pay attention to what's developing internally in the DR...

what about the 60% of the population that earns 200 pesos a day and cannot read or write,and do not know how to transact anything at a bank,are afraid of credit cards, no access to a bank,have no elec or water half the time,no phone service,etc etc etc...never happen here...
bob
 

Chris

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Oct 21, 2002
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As you pointed out, no country in the world has moved to that kind of system... Yet...
The DR will in fact become the first, if not second (if any other country comes out first).

Pay attention to what's developing internally in the DR...

PICHARDO, sounds like a nightmare to me. Something akin to 'mind control by way of control of the pocket book or wallet'. Governments should really not control the flow of payments to and from merchants. There are bad words for this! ;)
 

PICHARDO

One Dominican at a time, please!
May 15, 2003
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what about the 60% of the population that earns 200 pesos a day and cannot read or write,and do not know how to transact anything at a bank,are afraid of credit cards, no access to a bank,have no elec or water half the time,no phone service,etc etc etc...never happen here...
bob

Bob I know of a multitude of places in the US, UK, EU and other places that lack as you listed: Can't read or write, don't know how to perform any transaction at the bank, are afraid of CC, no access to a bank, no electricity or water half the time, no phone service (ever), etc...

It just goes to show that most people that never darted out of the big cities in those countries, lack any knowledge of what really transpires in many communities around their own nation.

Yet for all this shortcomings, those countries as a whole are considered developed nations!!!!

It wasn't too long ago (my time) when the presence of a Telex was the measure of modern telecommunications to the world...

Now, the fact that many countries adopted the fax instead of starting with the first generation of text over copper line; does it means that those nations even when adopting a far newer technology will never be called equally developed?

Last time I checked the standards used to say what country was developed and which not, rely on parameters more akin to Ford's assembly lines and incandescent bulbs...

Some countries will develop and invest into newer technologies bypassing altogether the learning curves and junk left behind by older developed countries that relied on those parameters to say what was development called.

Why should it be the responsibility of the state the full service of electricity 24/7, water, sewage, garbage disposal, phone services or any basic parameter you mention that constitutes "development"?

If something we, younger developing nations have learned from the older ones is that, the mistakes of the past should be avoided and long term vision must be used in the development of nations without the calcitrant older technologies still attached like an appendix to the country.

Education must be pursued via private sectors, all in competence for the best and brightest workers of tomorrow. Just like any major sport venue hunt, scouts and develops future starts; so should the private sector participate in the learning and developmental process of our future generations.

Public education has failed miserably all over the world... In contrast, private education has proven to be the stick to measure excellence...

The DR is moving ever sure to set the roots of the country's future now, not adding to the rotting structures that forever keep failing; but with the vision of a future that only us can ensure down the road.

The Metro is not a local SD project but a nation-wide mass transportation system, which will be unrivaled for years to come in our hemisphere. It will serve as an example of how a developing country should plan ahead to the future, instead of playing catch up to those already beset with the technologies of the past still attached.

The power generators, Bio Fuel plants, Ethanol plants, water works, major national roads, communications, etc... Are being set off from the ground up with ample investment and pursue of the private sector. It's the private sector that which has proven to keep the run for better technology and adopting newer systems, or be dismissed from the market as such for failing to innovate and keep up or surpass the boundaries.

The Metro is going to be run via major private sector investment, and so will all other major sectors that any nation in development needs.

Did Cuba make the country any more developed because literacy is 99%?!?
Did the US eradicate poverty because they created social aid programs?!?
Did the EU solve the health care needs of 100% of the citizenship with their autonomous care system or individual states?!?

Your measure of poverty from the old world and POV in the US is not what a campesino eating fresh produce/eggs and meat, while owning his own roof and land considers dirt poverty...

Having a flat panel TV, washing machine, radio or electricity is not a sign of good living standards but consumerism...

Poverty is what the DR imported and keeps importing from the other side of the border. People with absolutely nothing in their backs...

Education for the sake of education is not real learning. 90% of the population in most developed countries would die is left to fend off for themselves to secure food and basics as basics are to a human without supermarkets or shops.
 

jaguarbob

Bronze
Mar 2, 2004
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all of this may be true in your eyes,but the average poor Dominican is not Haitian,and they have strong family ties in there own Barrio or town,all you are talking about will not be accepted by the average poor,and would take a massive takeover by the government to make all those things come to past...and it is not good....too much government is always very very bad...look at USA today,close to being a faciest state.
not going to happen in our lifetime.
bob
 

sweetdbt

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Sep 17, 2004
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The same way they do today, with CC or DC...

That is absolutely not the case!!

We have a sticky thread here with 1665 posts to keep us updated on the current exchange rate. Another long thread about ATM machines and many discussions on the risks of using credit cards in the DR. The fact is most tourists bring dollars or Euros and exchange them for pesos, or withdraw funds from the ATM. Sure, credit cards are used, but not by everyone, and mostly for big ticket items. There are tons of things that are paid for almost exclusively in cash.
 

Funnyyale26

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Dec 15, 2006
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As always, Dominicans comparing the situation of the country, to more developed nations where these problems occur to much less scale than the DR. Why is it so hard to recognize that this country aint going nowhere given the attitudes of everyone in this society? I am dominican and I already realized and internalized that this country just has no future.
 

Chip

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Jul 25, 2007
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Santiago
Lets set the record straight, the DR isn't going to a papaerless money system period.

This is pie in the sky talk that will never happen, and anyone proposing that this will be reality needs to have their head examined.