Frequently Asked Questions

749. In what ways can Cuban nationals lawfully present in the United States participate in the U.S. financial system?

Certain Cuban nationals who have taken up residence in the United States on a permanent basis and who meet the requirements set forth in 31 CFR § 515.505(a) are licensed as unblocked nationals, and may participate fully in the U.S. financial system. See 31 CFR §§ 515.505(a)(1) and (d) . Pursuant to… Read more

750. If a Cuban national resident in the United States has applied to become a lawful permanent resident alien of the United States, does that individual have to apply to OFAC to be treated as an unblocked national?

No. If a Cuban national has taken up residence in the United States and has applied to become a lawful permanent resident alien of the United States and has an adjustment of status application pending, then the Cuban national is considered unblocked and does not need to apply to OFAC to be treated… Read more

751. Should financial institutions apply for a specific license to unblock funds transfers or accounts which meet the conditions for unblocking set forth in 31 CFR §§ 515.505, or 515.584 (e)?

The CACR include a general license authorizing banking institutions to unblock any account that had been previously blocked solely because of the interest therein of one or more persons now licensed as unblocked nationals. For a complete description of what this general license authorizes and the… Read more

752. Do U.S. banking institutions need to apply for a specific license to release funds transfers or accounts previously blocked pursuant to the CACR that are now authorized by general license?

If a transaction was previously blocked pursuant to the CACR at the time of the transaction, and the CACR was later amended to allow similar transactions, the earlier transaction is not unblocked unless the CACR amendments include a general license that unblocks previously blocked funds.… Read more

753. Is a financial institution required to independently verify that an individual’s travel is authorized when processing Cuba travel-related transactions?

No. A financial institution may rely on U.S. travelers to provide their certifications of authorized travel directly to the person providing travel or carrier services when processing Cuba travel-related transactions, unless the financial institution knows or has reason to know that the travel is… Read more

755. Is a U.S. or third-country financial institution required to independently verify that the underlying transactions giving rise to U.S. dollar monetary instruments presented for processing and payment pursuant to § 515.584(g) are authorized?

No. A financial institution receiving U.S. dollar monetary instruments for processing and payment directly or indirectly (in the case of a U.S. banking institution) may rely on the institution having presented such monetary instruments as confirmation that the underlying transactions are authorized… Read more

762. May U.S. companies exporting authorized goods to Cuba assemble such goods in Cuba?

Persons subject to U.S. jurisdiction that are exporting or reexporting items to Cuba pursuant to an authorization from the Department of Commerce or OFAC or that are otherwise exempt may assemble such items in Cuba provided that the assembly does not involve the incorporation of Cuban-origin goods… Read more

763. If an authorized export to Cuba requires servicing or repair, may a person subject to U.S. jurisdiction import the item into the United States or a third country for such servicing or repair?

Yes, provided such items were exported or reexported to Cuba pursuant to 31 CFR § 515.533(a) or 31 CFR § 515.559 . For a complete description of what this general licenses authorizes and the restrictions that apply, see 31 CFR § 515.533(b) . The exportation or reexportation of repaired or… Read more

764. Does 31 CFR § 515.533(a) authorize foreign subsidiaries of U.S. companies to export from a third country to Cuba foreign-manufactured items that are subject to the EAR?

No. Consistent with Section 1706 of the Cuban Democracy Act of 1992, (CDA), the general license provided at 31 CFR § 515.533(a) does not authorize any transaction between a U.S.-owned or -controlled firm in a third country and Cuba for the exportation to Cuba of commodities produced in a country… Read more

767. What types of payment or financing terms may be utilized for authorized exports and reexports of agricultural commodities to Cuba?

For such exports and reexports, only the following payment and financing terms may be used: payment of cash in advance, or financing by a banking institution located in a third country, subject to certain restrictions. This limitation is required by the Trade Sanctions Reform and Export Enhancement… Read more

Frequently Asked Questions

Office of Terrorism and Financial Intelligence