CreditCard Company won't cancel my card and refund me due to Money Laundering rules.

sfax

AdamJK wrote: »

If you attempted to withdraw that level of cash from a branch then questions would need to be asked by law. Too much of a risk. Spending the money hard and fast on the single card would trigger anti-fraud systems very sharpish - particularly given the nature of the purchases and if the credit card hasn't been used much in the past.

By calling the bank to make a transfer to a current account that is a single one-off risk. If the bank agree then you can distribute the funds around to maximise what you can withdraw via ATM and buy up without triggering anti-fraud systems. Single withdrawal limit on one card maybe £300 - spread the money around a few accounts (some compromised, some via mules) and that totals up to a lot more hard cash to withdrawn daily until the bank catches on and starts to pick apart the chain.

The idea is not to get the money out of the bank, it's to get as much money out of the banking system before they cotton on while staying under the radar.

As for 25% return, you're looking a lot higher return of around 70% realistically for them. That said would you turn down 25% of £9k for a days 'work'?

Sorry for this all being a tad off topic, but just playing devils advocate, I can see the legitimate reasons behind BoS not agreeing to transfer to a current account. While the OP has only the intention of a cheap loan, they're not going to make that possible due to the above. Not to mention if they did allow this then they potentially set a precedent that compromises one of their main revenue streams - they are a business after all.

Perhaps but if you're only going to buy stuff I'm not sure why you need to compromise multiple current accounts and setup an elaborate balance transfer. I would have thought just spending small amounts that don't trigger alarms across multiple credit card accounts would be less risky, not to mention easier

meer53

sfax wrote: »

Not sure I follow the logic here. The fraudsters manage to get the money in a current account and then decide to move it to other current accounts and then buy things with it? Why would they do that if they already had the CC money in a current account? You can just take cash from a current account and take 100% of it rather than 25% of proceeds from selling stolen goods.

And should BoS and other banks be criticised for issuing credit card cheques or allowing you to take ATM cash on your credit card? This is surely the same thing. You get cash. You owe them money

The goods they will be selling won't be stolen though will they ?

jojo57_2

blitzboy wrote: »

Well they did. And it worked.

It's not really different, the end result is the same. I get money from the card to my bank account for a small BT fee and have a 0% period before I have to pay it back (apart from minium payments). Aside from taking a couple of weeks longer than a SBT (cheques being posted/clearing etc) I can't see how it is different at all.

They are different, a balance transfer is transfering funds from one credit card to another to normally try and get a cheaper rate. What the OP seemed to be looking for was a money transfer,which transfers money from a credit card into a bank account,and most credit card companies dont offer this at the minute.
And you had mentioned on your original post that your bank didnt have any super offers but now you say that gave you 0%???

sfax

meer53 wrote: »

The goods they will be selling won't be stolen though will they ?

No but they have been obtained with stolen money and they'll want to shift them as quickly as possible and that will mean they won't get anything like the price they paid for them if they sell them for cash in a pub. My point being that they have already done the hard part of getting the money into bank accounts. You only complicate things and lose money if you then buy and sell to obtain the cash. If it was me, I would just withdraw £600 cash from an ATM either side of midnight, or just enter a branch with fake ID and draw out £1,000.

blitzboy

jojo57 wrote: »

They are different, a balance transfer is transfering funds from one credit card to another to normally try and get a cheaper rate. What the OP seemed to be looking for was a money transfer,which transfers money from a credit card into a bank account,and most credit card companies dont offer this at the minute.
And you had mentioned on your original post that your bank didnt have any super offers but now you say that gave you 0%???

I'm not sure, given your work experience, why you're finding the concept so difficult to understand.

*Old Card (Card 1) has £0 balance.
*Another old card (Card 2) has £0 balance.
*Offer from card 2 comes in post for 0% BT for 12 months.
*I ring card 2 up and ask about SBT, they say none available but if I have another card with £0 balance they can transfer from that (card 1).
*Transfer goes through, card 1 is now £2000 in credit. Card 2 has a debt of £2050ish with BT fee, on a promotional offer of 0% for 12 months.
*Ring up card 1 and ask for credit balance to be returned.
*Receive cheque for £2000 from card 1, cleared in bank account and ready to use the following week.


So I had £2000 into my bank account for the cost of the BT fee, with no interest for 12 months. Therefore it is, in effect, the same as a SBT.

meer53

sfax wrote: »

No but they have been obtained with stolen money and they'll want to shift them as quickly as possible and that will mean they won't get anything like the price they paid for them if they sell them for cash in a pub. My point being that they have already done the hard part of getting the money into bank accounts. You only complicate things and lose money if you then buy and sell to obtain the cash. If it was me, I would just withdraw £600 cash from an ATM either side of midnight, or just enter a branch with fake ID and draw out £1,000.

I think you underestimate modern day moneylaunderers. These people aren't the ones who sell stuff in pubs. They're more likely to be running a business selling stuff they have obtained with the money. And making a profit on it too.

And if you were going to try to get hold of cash illegally, why would you risk using ATM's and branches where there is a high chance of you being filmed by CCTV doing so ?

jimjames

sfax wrote: »

And therein lies the rub. Why do they let transactions like this take you £9k into credit in the first place if that's such a bad thing to do?

The OP can just spend the money by using the BoS credit card for the next year for all spending. Then the £9k will be used up

thumshie

The way I see it you have a 'credit' agreement with BoS, not a savings agreement. I see it no differently to mistakenly sending money to the wrong bank account, as the OP is not paying a debt.

As sfax keeps pointing to the T&C's, can they show me anywhere in there anything saying that they will repay positive balances on closure?? they don't even mention it, as far as they're concerned the OP has gifted them 9k :eek:

jojo57_2

blitzboy wrote: »

I'm not sure, given your work experience, why you're finding the concept so difficult to understand.

*Old Card (Card 1) has £0 balance.
*Another old card (Card 2) has £0 balance.
*Offer from card 2 comes in post for 0% BT for 12 months.
*I ring card 2 up and ask about SBT, they say none available but if I have another card with £0 balance they can transfer from that (card 1).
*Transfer goes through, card 1 is now £2000 in credit. Card 2 has a debt of £2050ish with BT fee, on a promotional offer of 0% for 12 months.
*Ring up card 1 and ask for credit balance to be returned.
*Receive cheque for £2000 from card 1, cleared in bank account and ready to use the following week.


So I had £2000 into my bank account for the cost of the BT fee, with no interest for 12 months. Therefore it is, in effect, the same as a SBT.

I dont find the concept difficult to understand at all. I know what a balance transfer is and how they work,if I didnt I wouldnt be in the job I am in.
What I find hard to believe is why 'Card 2' would advise you to transfer into a card with a zero balance to then get a cheque issued?'Card 2' would not have known that 'Card 1' would allow a cheque to be issued as clearly BOS dont allow this as thats what the OP is about?What you have done is not standard procedure on a credit card and judging by lots of posts on here most of the big providers dont allow this to happen so I would be interested to know who your credit card is with?

Anyhow I am not on here to have a debate about it,I am on to offer tips and advice!I think its pretty pointless us discussing what you have been able to do previously as the fact is BOS dont do it or the OP wouldnt have posted in the first place??

sfax

meer53 wrote: »

I think you underestimate modern day moneylaunderers. These people aren't the ones who sell stuff in pubs. They're more likely to be running a business selling stuff they have obtained with the money. And making a profit on it too.

And if you were going to try to get hold of cash illegally, why would you risk using ATM's and branches where there is a high chance of you being filmed by CCTV doing so ?

They're hardly money launderers and I still don't accept this is the norm or the reason the AML regs prevent this kind of withdrawal but we'll agree to disagree