Australia’s big four banks are closing the accounts of money transfer organisations that help the poorest people in Asia and the Pacific receive money from relatives living in Australia. The banks say money transfer companies catering to people who are only able to send small sums do not have the anti-money laundering controls they require.
They are reviewing money transfer company accounts and exiting relationships that do not meet robust controls. Pacific Islanders have turned to a proliferating number of small money transfer companies and the Australian government is helping by providing a website which compares the costs of different money transfer options.
Jonathan Capal, from the London-based company Developing Markets Associates, who manages the website says he is aware that there has been a number of account closures by various banks across the Pacific Islands. “There also appears to be a situation where money transfer bank accounts have been closed within Australia too, so at both ends this is making it potentially harder for migrants to send money back home, he said.
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