Paying The Rent

[LIVE54]

Gang,

We are about to sign a lease and our landlord is requesting that we pay our rent in cash each month. Honestly I'm not 100% comfortable with this for a number of reasons, mainly security as it's a decent amount if money to be running around town with. I'll have a local bank account and was hoping to make wire transfers or payments by check.

Is there a reason landlords want cash? Is it just the lack of trust in the banking system, or is it to avoid scrutiny from AFIP?

Looking for some advice/suggestions on how to proceed.

 

[Somewhereinba]

Gang,

We are about to sign a lease and our landlord is requesting that we pay our rent in cash each month. Honestly I'm not 100% comfortable with this for a number of reasons, mainly security as it's a decent amount if money to be running around town with. I'll have a local bank account and was hoping to make wire transfers or payments by check.

Is there a reason landlords want cash? Is it just the lack of trust in the banking system, or is it to avoid scrutiny from AFIP?

Looking for some advice/suggestions on how to proceed.

I pay rent in cash, but of course make sure you get a receipt. I'm not sure how common it is for landlords to accept wire transfers, hopefully someone else here knows. Like most things it will probably revolve around being in 'black'.

 

[PhilipDT]

Its about avoiding taxes I'm sure. Otherwise there is really no reason not to take a wire transfer. Carrying cash on you isn't that big of a deal if that's your main concern. You really get used to it.

I'd try to use it as leverage to lower the rent but other wise there's not much you can do. He's unlikely to budge if its a tax issue and you can go for it or find somewhere else.

How much is rent by the way? Are we talking five thousand pesos or fifty five thousand pesos?

 

[nikad]

The reason is taxes, nothing more and nothing less.

 

[jez]

but of course make sure you get a receipt.

Make sure his name and the apartment address is on the receipt, then you have something leverage (threats to AFIP) if he tries to screw you later!

 

[Napoleon]

Nubes are so innocent.

 

[PhilipDT]

Nubes are so innocent.

...............

 

[London2Baires]

Nubes are so innocent.

Yes, clouds are innocent, as are Noobs

 

[garryl]

It's pretty common to pay in cash. There is really not an other good way for the landlord. When you put a deposit for purchasing a real estate, the receiving part writes all the US dollars seq numbers on a piece of paper to show that the dinero is received. It probably does not mean much, but to make the giver feel better. There is really not too much risk paying cash, you can make your landlord come to pick it up.
Many Argies have an abroad account (all lawyer does), the other you can pay in Palpal if your landlord has an acc like that.

 

[sergio]

Over twenty years ago when I first came to Argentina I paid rent in cash (USD even then -- and the peso was worth one dollar!). It's always been a cash culture. That's the way it is so you need to get used to it.

I don't understand why some expats like to threaten owners with the tax authorities. Argentina is not like more developed countries where taxes are more consistently applied to provide good social services, education and health care. Anyone who has lived in the country for awhile knows about the corruption. The pension system is miserable and that is a major reason that Argentines invest in property to rent out -- they know that they will never be able to live on their pensions (a very large part of the money disappeared when the system was returned to the state after privatization). I think you have to see the system in light of the reality. People in Argentina have to survive in ways that are not necessary in more prosperous and democratic countries. Unless your landlord/lady has deceived you or cheated you out of money, I don't think it is right to threaten over taxes.