Mar 2016 Financial News

Scotiabank explains forex limitations

Mar 07, 2016

Scotiabank is advising customers to plan their cash needs in advance and this will help the bank in meeting their foreign currency need.

In an email responses to questions from the T&T Guardian about the availability of US currency and its currently foreign exchange distribution policies, Scotiabank emphasised that there are security measures in place to protect the bank as well as customers.

“All commercial banks manage the supply of US dollar cash and its availability to their respective customers. This is for numerous reasons including security, anti-money laundering and the cost of holding large quantities of cash.

“Scotiabank is committed to helping meet our customers’ needs and as such, we encourage customers to plan for cash needs in advance and advise their branch so relevant arrangements can be put in place to help meet their needs.”

Scotiabank said the ease of accessing US dollars depends on the needs of the customer: “Customers with US dollar accounts have access to their funds, albeit the form of access varies. For example, withdrawals via draft or wire transfer are readily available, but there may be certain limitations on withdrawals via physical cash.

“It has been a long standing practice in all commercial banks to manage the supply of US dollar cash in their branches and consequently its availability to customers. This is for a variety of reasons from security concerns, anti-money laundering requirements and the cost of holding large quantities of cash in whatever currency, including TT dollars.”

The bank said to conduct any transaction at the bank, including obtaining US dollars, the individual must be a customer of the bank.

“Scotiabank is guided by the Know Your Customers compliance guidelines and a person must be a customer of the bank to conduct any financial transaction.”

Last week, Western Union, a subsidiary of Grace Kennedy, imposed limits on international currency transactions under which it can only send the equivalent of US$800 per customer or US$800 to each person to whom money is being sent. Western Union branches are also has a limited in the amount of TT cash that can be sent in transactions and once that limit is exceeded, can only transfer US dollars under established limitations.

Customers have complained they must now go to the banks and then go to Western Union with US currency if they wish to send money to China and Colombia.

Source:
Rapheal John-Lall
Trinidad Guardian
Monday March 7, 2016

http://www.guardian.co.tt/business/2016-03-07/scotiabank-explains-forex-limitations