The Office of Foreign Assets Control (OFAC) within the U.S. Department of the Treasury provides a straightforward clarification for those worried that inquiring with their bank about sending money to Cuba might have repercussions: posing a question does not equate to initiating a payment, and this distinction is crucial.
This is outlined in OFAC's FAQ 53, last updated on October 26, 2026, although it was initially released in January 2015. It remains unclear what specific text was updated or if the underlying regulation has changed.
According to this document, when a customer approaches their bank with the question, "Can I send money to Cuba?", the financial institution can either provide a direct response or refer the individual to OFAC's compliance line for further guidance. In this scenario, there is no transaction to block or reject, and the bank is under no obligation to file a report with the regulatory body.
The situation changes dramatically if the customer gives specific payment instructions. Should these instructions involve a blocked person, the bank must freeze the funds and notify OFAC via the agency's Reporting System within ten business days of the property becoming blocked.
When a transfer is prohibited but does not involve a blockable interest—meaning the recipient is not on the Specially Designated Nationals (SDN) List or other blocked categories—the bank must reject the transaction and submit the appropriate rejection report, as outlined in OFAC's FAQ 36, also updated this week.
A commonly misunderstood point is that not all Cubans are individually blocked. OFAC notes that certain categories may be blocked without appearing by name on the SDN, yet the legality of each remittance depends on the specific beneficiary, involved intermediaries, the type of transaction, and applicable licenses. This distinction does not imply that all remittances to Cuba are either authorized or prohibited.
Familial remittances from the United States to Cuba remain legally permissible under regulation 31 C.F.R. § 515.570, provided the recipient is not a prohibited Cuban government official or a banned Communist Party member, and the transaction does not involve entities on the Cuba Restricted List (CRL).
The operational landscape, however, has become increasingly complex. Western Union indefinitely halted its transfers from the United States to Cuba in February 2025, following the addition of its Cuban operator, Orbit S.A., to the CRL.
As of September 30, 2026, new sanctions stemming from Executive Order 14404 have expanded restrictions on indirect transactions with entities on this list and eliminated "U-turn" operations related to Cuba.
Additionally, since January 1, 2026, a federal tax of 1% applies to international remittances paid in cash, money orders, or cashier's checks, although it does not apply to bank transfers or payments made with U.S. credit or debit cards.
Individuals seeking specific guidance before attempting any transaction are encouraged to contact OFAC's compliance line at 1-800-540-6322, a resource to which the agency directs inquiries when a bank cannot directly resolve them.
OFAC emphasizes that making this call, or posing the question at a bank branch, does not trigger any blocking mechanisms or create a reporting obligation.
Understanding OFAC Regulations on Cuban Remittances
What is OFAC's stance on asking banks about sending money to Cuba?
OFAC clarifies that simply asking a bank about sending money to Cuba does not constitute initiating a payment, and thus does not require banks to block transactions or file reports.
Are all transactions to Cuba prohibited by OFAC?
Not all transactions to Cuba are prohibited. The legality of each transaction depends on the specific beneficiary, intermediaries involved, type of transaction, and applicable licenses.
What happens if a bank receives specific payment instructions for a blocked person?
If a bank receives specific payment instructions involving a blocked person, it must freeze the funds and report to OFAC within ten business days.