Looking for a UK account for a money remittance company

[Franciscorhp]

Hi I am new here I was reading the forum and I could find anything to help me! because that I am posting!

Do someone knows banks what accept a a money remittance (money transfer) company in uk?

I tried many of them and all of them just keep the account open for some months or reject direct when they know is a money remittance company!

We need an account to receive a customer transfer and procede with the payments abroad

Thnak you

 

[CaptK]

Where is your company licenced?

 

[Martin Everson]

Franciscorhp said:
Do someone knows banks what accept a a money remittance (money transfer) company in uk?
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Go with BFC bank if you meet their requirements and if you are regulated in EU and can do volume. They are a fairly new bank in UK, but group is very well established money remitters themselves.

Home - BFC Bank

If you are on a lower budget and regulated but willing to pay a fat monthly fee until you build volume then go with Earthport.

Earthport | Cross-border payments | Foreign exchange | Money transfer

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Please note my posts should not be taken as financial or tax advice. Please seek professional advice in that respect.

 

[FinTech Avenger]

Franciscorhp said:
Hi I am new here I was reading the forum and I could find anything to help me! because that I am posting!

Do someone knows banks what accept a a money remittance (money transfer) company in uk?

I tried many of them and all of them just keep the account open for some months or reject direct when they know is a money remittance company!

We need an account to receive a customer transfer and procede with the payments abroad

Thnak you
Click to expand...

What's your company ownership structure? Is it regulated in the UK or elsewhere in the EU? Is it regulated as an authorized payment institution (API) or rather registered as small payment institution (SPI)? If it is incorporated not in the UK, does it has passporting under PSD2 to the UK? Do you provide online remittance services, or cash-based?

I'll send you PM shortly - banking for financial services providers is one of our core services 🙂

Martin Everson said:
Go with BFC bank if you meet their requirements and if you are regulated in EU and can do volume. They are a fairly new bank in UK, but group is very well established money remitters themselves.

Home - BFC Bank

If you are on a lower budget and regulated but willing to pay a fat monthly fee until you build volume then go with Earthport.

Earthport | Cross-border payments | Foreign exchange | Money transfer
Click to expand...

BFC may be an option, but they prefer to deal with companies that have real presence within the UK and regulated as authorized payment institution.

There are less costly alternatives to the Earthport, which could be quite selective and not very comfortable with some quite common money remittance pathways.

 

[Martin Everson]

@Franciscorhp Be careful with anyone PM'ing you with a service offering 😉

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Please note my posts should not be taken as financial or tax advice. Please seek professional advice in that respect.

 

[FinTech Avenger]

Martin Everson said:
@Franciscorhp Be careful with anyone PM'ing you with a service offering 😉
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I've offered @Franciscorhp a non-onligatory consultation on this matter, so assume it'd be fair to say that I've not offered any services so far 🙂

 

[Franciscorhp]

Martin Everson said:
Go with BFC bank if you meet their requirements and if you are regulated in EU and can do volume. They are a fairly new bank in UK, but group is very well established money remitters themselves.

Home - BFC Bank

If you are on a lower budget and regulated but willing to pay a fat monthly fee until you build volume then go with Earthport.

Earthport | Cross-border payments | Foreign exchange | Money transfer
Click to expand...

We are a money transfer regulated in UK licenced for FCA but what I can see is the banks categorize us like a high risk company and prefer do not offer the service!

We have the hole process working the big problem right now! is an account on the bank to receive a customers transfer

Last edited: May 21, 2020

 

[FinTech Avenger]

Franciscorhp said:
We are a money transfer regulated in UK licenced for FCA but what I can see is the banks categorize us like a high risk company and prefer do not offer the service!
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Correct - you are classified by default as a high-risk business given money laundering concerns and reluctance of high-street banks to serve their effective competitors. Even provisions in the PSD2 prohibiting discrimination of MSB's by the banks don't really work well. The fact you're regulated by the FCA won't get banks too excited and queueing in line to offer their services, it rather goes the reverse way.

Some of the solutions have been named in this thread, and there are more in the spot. However, it all goes down to the particulars of your business model, ownership structure, targeted groups and types of customers and destinations of your outward remittances.

 

[Franciscorhp]

Incorporator said:
Correct - you are classified by default as a high-risk business given money laundering concerns and reluctance of high-street banks to serve their effective competitors. Even provisions in the PSD2 prohibiting discrimination of MSB's by the banks don't really work well. The fact you're regulated by the FCA won't get banks too excited and queueing in line to offer their services, it rather goes the reverse way.

Some of the solutions have been named in this thread, and there are more in the spot. However, it all goes down to the particulars of your business model, ownership structure, targeted groups and types of customers and destinations of your outward remittances.
Click to expand...

We work 100% with people we don't deal with business only with people! and we just make payment right now to EU and Brazil.

 

[FinTech Avenger]

Franciscorhp said:
We work 100% with people we don't deal with business only with people! and we just make payment right now to EU and Brazil.
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I won't be able to make any in-depth analysis of your situation on public forum as there is not enough info to make any definitive conclusion and give relevant advice, and my advisory services are billable. However, in brief, your issue may lie within your risk appetite (and Brazil is risky destination for money laundering purposes), as well as with 100's of any other factors that may be present in your organization (ownership structure, owner's experience, lack of well-defined business plan and compliance procedures etc.).

 

[DGTLOTC]

What is the name of your money transfer company?
I work with a lot of companies In your sector both present and past what you need to do is get a named segregated account that's issued by a UK Api sounds like you don't need USD so your battle is a little easier

a relationship directly with a bank is hard - how long have you been going and what is your turnover ? Also do you hold an SPi or Api ?

your flow is it to first party account overseas or have you got pay out partners ?