China starts overseas cash withdrawal laws

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January 1 2018

The new Chinese law that limits overseas cash withdrawals with personal bank cards has entered into force, with the aim of curbing criminal activities such as money laundering, terrorist financing and tax evasion.  The measure, announced by surprise on the night of December 30, limits the annual amount that customers can withdraw at ATMs abroad to 100,000 yuan (about NZ$21,640) per person, regardless of how many cards the customer has.

From 2003, the limit was set at 100,000 yuan per card, so those with several cards of different banks could get much higher amounts. The Chinese State Administration of Foreign Currency warned in a statement on Monday that individuals who exceed this limit will see a suspension of overseas fund withdrawals in the current year and also the following year.