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A baker's dozen of Costa Rican resolutions for 2008
By the A.M. Costa Rica staff

Readers who cannot find good resolutions to improve their lives in 2008 need only look to past issues of A.M. Costa Rica.

A lot of the grief that befalls expats here is predictable and frequently the result of bad decisions and lack of information.

Consider some of these resolutions and the case studies that generated them:

1. I promise not to set myself up as a patsy and let my girlfriend kick me out of my own house.

Some expats here behave badly and put themselves in precarious legal positions. This was the topic of a number of articles in 2007 based on actual events. The news stories told of expats who were victims of the revised domestic violence law that allows a woman to evict a boyfriend even if the man owns the property. And the courts take their own sweet time in setting a hearing on the evidence.


2. I will check and make sure I know who holds powers of attorney over my corporations and, by extension, by properties in Costa Rica.

Another series of articles pointed out that some expats delay in changing the board of directors or revoking powers of attorney even when they put valuable property in the name of a corporation. Although the expat may own all the stock, courts do not call it stealing when someone with a valid power of attorney sells corporate assets. That's true even if the seller does not have an ownership interest in the assets.


3. I will legalize that gun I have stashed away for protection.

U.S. citizens generally love guns, but the Costa Rica laws do not indulge that sentiment. There are ways to have a legal gun in the home or office without extensive paperwork and theory and marksmanship tests. One article suggested holding the weapon in a Costa Rican corporation, which is legal even for pensionados and rentistas.


4. I will try to generate as little carbon as possible, or at least I will recycle.

Carbon footprint are the buzz words, and the Óscar Arias Sánchez administration promises to make the country carbon neutral within a few years, barring major volcanic eruptions. Calculating carbon emissions and the production of oxygen is a bit complex, but a 2007 article sought to explain it. And as to recycling, garbage, solid waste, is a continuing problem here, but reusing some of the material is a way to reduce the woes.


5. I will not give crooks access to my bank account, but I will use online transfers to stay out of long bank lines.

Costa Rican banks appear to be under siege from crooks who are transferring money out of customer accounts. One expat lost $215,000. The trick is to keep account information and passwords out of the hands of crooks and to keep a continual eye on accounts to avoid drainage from inside sources. Still, online transfers allow expats to pay monthly bills in under a half hour instead of spending the day at the bank.


6. I will not become a property fraud victim.

Buying property here can be complex. For starters, a newcomer should try to get a decent appraisal on a property of interest. This is hard to do in a land where sales prices are misrepresented and frequently not available.

The first step is to find out about title and other restrictions on property before putting up any earnest money.

And, as in most areas, knowledge is power, so a property purchaser should make an effort to learn exactly how the transaction will progress and what all the words mean.

Real estate buyers also need a good checklist to stay out of trouble when buying property in Costa new year's resolutions

Rica. However, most people forget about what needs to happen afterwards. Here is a checklist for after the closing.


7. I will make an effort to get legal with immigration, if I am not already.

The Dirección General de Migración y Extranjería is so messed up that officials had to extend residency terms by a year twice. It still is a black hole for documents. Many expats use that fact as a reason not to seek residency here. They work illegally on tourist visas. But immigration is changing and soon will institute electronic procedures to generate identity cards much like the cédulas of Costa Rican citizens.

8. I will pay my fair share of taxes.

Tributación, the tax-collecting agency, no longer is a pushover. And they are getting better with the prospect of more online services and investigations. A lot of illegal workers here (See No. 7) do not even try to pay taxes, and many corporate books are not up to date.

Producing more revenue is a goal of the Arias administration, and tax collectors are cracking down on those who fail to follow the rules.


9. I will do my homework before relocating here.

Costa Rica is not that fairytale land many North Americans think. It is great to live here, but a little knowledge helps to avoid the daily disasters. There are a lot of sources of information, including periodic summaries from A.M. Costa Rica.


10. I will not get involved in high interest deals too good to be true.

The year 2007 saw the conviction of Oswaldo Villalobos Camacho for aggravated fraud and illegal banking. Although he may yet win an appeal on technicalities, the trial made it clear that he and his brother, Luis Enrique Villalobos Camacho, operated what the judges described as a ponzi scheme. To the tune of $1 billion.

Many North Americans and expats think that there are very lucrative deals to be found here. Well, they are in line behind very savvy Costa Ricans, and in most cases the currency is hard work.

Still there are continual rebirths of various fast-buck schemes that seek to trim the gullible. We have yet to see one that lives up to its promises.


11. I will pay attention to personal security.

Home invasions, car hijackings and kidnappings are on the rise. Even the politicians and the movers and shakers have been victims in 2007. There are a number of steps expats can take to avoid such crimes, but the basic rule is to stay out of harm's way with planning and avoidance.


12. I won't leave a big mess when I die.

Expats here have to face the inevitable and plan for their own demise. In 2007 a man died and his sister had to drop everything — all her responsibilities in the States — and hop a plane to Costa Rica. His affairs were a mess, and weeks were needed to sort them out. Basic planning can avoid most of the legal headaches.


13. I will read A.M. Costa Rica every weekday.

Editors frequently are asked questions that have been answered repeatedly in various news stories. It is said that eternal vigilance is the price of liberty. But vigilance also is the price of living successfully in a foreign country. No other English-language news source keeps readers so connected to Costa Rica.