Carrying large amounts of cash is not an illegal act in and of itself. Despite the popular misconception, under U.S. law, there is no legal penalty for holding any sum of cash in any U.S. jurisdiction. While handling large sums of cash, e.g., greater than $10,000, is an unusual and potentially dangerous experience, you cannot be arrested or charged for being in possession of the money – albeit it may raise questions with law enforcement regarding the purpose of the cash and for what it was obtained. You also invite the risk of theft – losing all the money with little chance of compensation.
When flying, the legalities of carrying large amounts of cash become more complicated. You're still allowed to travel with large sums of cash, but you must declare the volume of cash you wish to bring into the country.
In this article, we will explore the legalities surrounding carrying large amounts of cash and the popular misconception surrounding the myth that carrying over $10,000 in cash is illegal.
Carry Large Sums of Cash Through an Airport
Under U.S. law, the transport of more than $10,000 in American currency isn't expressly prohibited. In fact, individuals can theoretically travel with any amount of cash and not violate any law. However, if traveling with large sums of cash, you must report the sum to the U.S. Customs Service if traveling internationally. You will be asked to fill out form FinCEN105 – and you may be interviewed by law enforcement to explain the purpose of the cash you're carrying.
Perhaps the most obvious concern about an individual carrying large amounts of cash through a port of entry is a connection to narcotics and the sale of other drugs. During your interviews, law enforcement agencies, like the Drug Enforcement Agency (D.E.A.), can seize your cash if they reasonably believe that your answers or general demeanor do not reasonably explain why you possess such large sums of cash.
In one case, an individual carrying $75,000 was investigated. Due to their findings, the cash was seized, and the traveler continued on their flight.
Specific currencies will have unique regulations specifying the amount of currency tolerated crossing borders without declaration. The IATA Travel Center publishes country-specific information about currency limits.
In short: if you are planning to carry large sums of cash through an airport, ensure your reasons for doing so are transparent, legal, and legitimate.
Potential Confiscation of Large Amounts of Cash
Despite there being no law against possessing large sums of cash, it is inadvisable to keep excess cash assets on your person. According to the American Civil Liberties Union (ACLU), a collection of laws known as "Civil Asset Forfeiture" allow:
"…federal and state law enforcement agents [to] seize millions of dollars [annually] from civilians during traffic stops, simply by asserting that they believe the money is connected to some illegal activity and without ever pursuing criminal charges. Under federal law and the laws of most states, they are entitled to keep most (and sometimes all) of the money and property they seize."
Civil Asset Forfeiture does not need assets to total greater than $10,000 – any amount of cash suspected of being connected to illegal activity can be confiscated with few options for recourse available. If cash is taken during such a seizure, it will not likely be reclaimed.
The Origins of the $10,000 Myth
Carrying large sums of cash isn't risk-free, even if it is 100% legal. Nevertheless, there are considerable rumors about the $10,000 threshold, with many believing it is illegal to carry cash greater than this amount.
According to Snopes, this misconception likely arose from the Currency and Foreign Transactions Reporting Act of 1970, also known as the Bank Secrecy Act (B.S.A.). Created to inhibit money laundering, the B.S.A. necessitates U.S. financial institutions to detect and prevent money laundering, including filing reports of cash transactions exceeding $10,000.
Trusted Los Angeles Defense Attorney
Carrying large sums of cash through an airport or having your cash confiscated for a suspected drug crime is often an individual's first offense. The loss of such money can cause stress and anger. However, you can seek compensation and defense depending on the circ*mstances. Speak to a trust L.A. defense lawyer to explore your options if you were charged with a crime related to carrying large sums of cash.
FAQs
To declare currency, the bearer must complete a FinCEN Form 105, Report of International Transportation of Currency or Monetary Instruments. The FinCEN Form 105 is available from any U.S. Customs and Border Protection (CBP) officer.
How do I declare cash at the airport? ›
There is no maximum limit, however, any amount exceeding $10,000 USD must be declared upon arrival on both the Form 6059B and FinCEN 105. All forms must be filled in completely and truthfully. The penalties for inaccurate declaration and non-compliance can be severe including heavy fines and/or confiscation of funds.
What happens if I bring more than 10,000 USD? ›
You're required to file a form with U.S. Customs and Border Protection when entering or departing the United States with more than $10,000. Failure to report this could lead to legal penalties, including seizure of your money.
How do you declare large amounts of money? ›
You may bring into or take out of the country, including by mail, as much money as you wish. However, if it is more than $10,000, you will need to report it to CBP. Use the online Fincen 105 currency reporting site or ask a CBP officer for the paper copy of the Currency Reporting Form (FinCen 105).
Do I need to declare cash at the airport? ›
In the US you are required to declare cash or cash equivalent products of over $10,000 whether you are entering or leaving. There is no limit to how much you are allowed to carry, only a requirement to declare it if it exceeds $10,000.
Is $10 000 cash limit per person or family? ›
Most localities in the United States have a $10,000 per person restriction. However, if numerous people are travelling together, they are not allowed to have more than this amount without disclosing the cash or things that total more than this amount to customs.
Can you carry a lot of cash through an airport? ›
Yes, there are no laws restricting the amount of cash you can travel with as long as you declare any amount over $10,000 when leaving or entering the United States. Domestically, you do not have to declare money.
How much cash can I take through the airport? ›
No limit exists on how much money you can carry on a domestic or international flight. However, if you're travelling internationally, you should also be aware of the regulations in the country you're travelling to. Some countries may restrict the amount of money you can bring into the country.
How much cash can you fly with without declaring? ›
When flying domestically within the USA, there is no limit to the amount of cash that you can carry or have to declare. However, if you are found flying with large amounts of cash or money, TSA officers may question you as to why you have it and details of your trip.
Can I fly with 20k cash? ›
You can fly with any amount of cash. No law prohibits you from bringing any amount of money on a flight. Likewise, the TSA has no rules that limit how much money you can bring through security. In other words, the TSA has no cash limit per person.
Money reported via FinCEN Form 105 is reported to the IRS to help cut down on money laundering.
Why is it illegal to carry more than 10,000 cash? ›
The Origins of the $10,000 Myth
According to Snopes, this misconception likely arose from the Currency and Foreign Transactions Reporting Act of 1970, also known as the Bank Secrecy Act (B.S.A.). Created to inhibit money laundering, the B.S.A.
How much cash must you declare? ›
You must declare cash of £10,000 or more to UK customs if you're carrying it between Great Britain (England, Scotland and Wales) and a country outside the UK. If you're travelling as a family or group with more than £10,000 in total (even if individuals are carrying less than that) you still need to make a declaration.
What happens if you find a large amount of cash? ›
These laws usually require that a person who finds money, especially larger amounts (for example, $100 or more), turn it over to the local police.
What is considered a large amount of money to a bank? ›
Financial institutions are required to report large deposits of over $10,000. However, if the bank reports your cash deposits before you do, you may end up with a fine or, worse yet, have your account frozen. There are also a few other situations that can put you on the IRS's radar.
What does FinCEN check for? ›
FinCEN's mission is to safeguard the financial system from illicit use and combat money laundering and promote national security through the collection, analysis, and dissemination of financial intelligence and strategic use of financial authorities.
What transactions get reported to FinCEN? ›
Federal law requires financial institutions to report currency (cash or coin) transactions over $10,000 conducted by, or on behalf of, one person, as well as multiple currency transactions that aggregate to be over $10,000 in a single day. These transactions are reported on Currency Transaction Reports (CTRs).
Why do you have to declare over $10 000? ›
The point of the U.S. customs cash limit is to catch criminals and prevent money from being used to fund illegal activity like money laundering or drug trafficking. Unfortunately, travelers who are otherwise law-abiding citizens sometimes get caught illegally traveling with too much cash.
Who must file a FinCEN report? ›
A United States person that has a financial interest in or signature authority over foreign financial accounts must file an FBAR if the aggregate value of the foreign financial accounts exceeds $10,000 at any time during the calendar year.
Perhaps the most obvious concern about an individual carrying large amounts of cash through a port of entry is a connection to narcotics and the sale of other drugs. During your interviews, law enforcement agencies, like the Drug Enforcement Agency (D.E.A.), can seize your cash if they reasonably believe that your answers or general demeanor do not reasonably explain why you possess such large sums of cash.