Transferwise

[David97255]

Hi guys,

Creating a new thread to update you with Transferwise.
I used them since few monthes without problem ( fast payments , good customer support ).
Now it seems that the rules change. I got several account there on different companies.
Now they ask selfie with ID card even if the account is verified and after few monthes of deals.
I have provided as requested selfie + id card , on 5 account, one has been accepted and the 4 left rejected ( no fake, true selfie ) i have tried again with others and again rejected. I have offered to make skype conference and they haven't replied yet.
Don't know what happen,just to let you know and keep you aware.

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Scammed people on the forum!

 

[HKTT]

I opened up an account a few days ago, submitted all necessary paperwork, linked to‌ bank account etc. Two days later I couldn't login and they said account disabled and‍ gave no reason why. This was for a European company, with a European address linked⁠ to a personal USD account in the US as the account was a dual purpose⁤ account, both for personal and business.

Here is what they say
"Account deactivation can occur⁣ for a number of reasons, including but not limited to security concerns, detection or possibility⁢ of duplicate accounts or transactions not being within our risk appetite as a strictly regulated︀ financial institution.

Unfortunately, having reviewed our decision upon your appeal, in line with the “Terms︁ of Use Agreement”:TransferWise - Send Money Abroad-Customer Agreement - TransferWise.com accepted by yourself, the︂ decision to keep the account closed is now being finalised. We are unable to provide︃ any further information on this due to regulatory restrictions.

I am sorry that we cannot︄ be of more assistance to you or offer you our services in future.

Kind regards,︅

 

[Martin Everson]

Are you a U.S Person?

 

[MrTony]

Earlier had mostly the same problem.

I tried to read their restrictions - there is‌ a lot of restricted activity for them.

 

[David97255]

I have checked,‍ it s right but i m not at all in their restricted area list.
Since they don't my selfies or skype verification, i ll update here what next

 

[cptproto]

Looks like they are de-risking. The account of my offshore company got closed too.

 

[David97255]

It s what I meant so I preferred to inform. They‍ are not scamming at all but if they de-risking it will not be useful for⁠ part of us here

 

[HKTT]

No.

 

[KraftyAndy]

This is most likely the reason the account⁠ was suspended/closed.

I'm surprised the personal account in the US has not been closed also.⁤

 

[Martin Everson]

Yes I was thinking the same thing. Any client that would come to me and‌ has a U.S account and says they are not a U.S person I would reject‍ automatically. 9/10 times the person is a liar and has either a Green Card hanging⁠ around after living in U.S, U.S reporting obligations with ITIN/SSN, or has a U.S passport⁤ as a second passport. Either way I don't care to hear their full story over⁣ how they came to get a U.S account and just cut them off...lol. Transferwise may⁢ have the same suspicion.

You see Transferwise failing to identify a client as a U.S︀ Person when signs are there is a big problem for them. Anyway hope this is︁ NOT the problem you run into HKTT and good luck.

 

[David97255]

Transferwise... Revolut.. worldcore.. leupay...( From what I read here and on others website )
I get to the point that emi's are not the future .too much risk for nothing‌
The old school way , true bank and fly to open an account seems the‍ right way.

 

[Martin Everson]

Yes EMI's are not the future at present. The majority of EMI's are dependent on‌ real banks and real banks have no love for profit stealing EMI's. Until EU law‍ puts EMI's on an equal footing with equal rights as traditional banks and allows them⁠ not to be AML'd out of business by the banks they use then nothing will⁤ change.

EMI's are in business to grow customer base at any cost with zero risk,⁣ then eventually list on a stock exchange and exit with a huge profit for their⁢ investors. Banks on the other hand - especially private banks are in business to financially︀ rape their customers in every possible way as long as it does not jeopardize their︁ license.

In the end you have to choose which suits your needs at this current︂ point in time as both are equally as bad.

 

[cptproto]

Just adding some more of my experience. EMI's are likely to close/deny your account if:‌

1. you are a US person.
2. you are doing business with US persons or‍ companies.
3. your companies registration country doesn't have a register which lists the final shareholders⁠ (e.g. Belize, Seychelles).

 

[Suzy Emerald]

Hello, I think they may also take into account the number of transactions you do,‌ the average amounts of these transactions and if you move funds to/from the US or‍ other countries that they consider dubious.

Question: what do you consider 'high amounts' to hold⁠ with Transferwise or any other EMI?

 

[Piri Erts]

Once again you no not what you speak of accept to sell your own︃ services. You have an axe and every forum member should be aware of it.

Having a USA ITIN (individual) or EIN (entity) in no way obliges one to report anything︄ for an offshore company. Now, of course the bank WILL report any interest income to︅ the IRS (though automatic withholding of 30% usually means no filing is even necessary to︆ pay tax on interest) and IRS will have full access to the movements within the︇ account but that is it. Nothing strange here and no different than any major bank︈ in a G7 country.

It is possible to open a USA account for an offshore︉ company...I just opened TWO for a BVI entity on recent trip with top 4 USA︊ bank and large regional money center bank (no..I won't list banks but one is JPM,︋ Citi, BofA or Wells!). I did not have millions to deposit either. What I did︌ have was everything in order: ITIN, EIN, all corporate docs etc.

Last bit of magic︍ is a local registration of your offshore company in a US state (google this). This︎ puts a "local" government stamp of approval on your company and the banks LOVE this.️ No annual filing in state either. You get a USA registered agent and you must‌ list an officer for the company (could be nominee director but this will complicate opening‍ and require nominee to most likely be present for account opening). As sole owner and⁠ only Director, I had no problems.

As to privacy, USA bank reveals nothing that wouldn't⁤ already be out in the open since only the banks know about your state registration⁣ that will list your name if you are only owner/director. Nobody outside USA will know⁢ about your state registration unless they look very hard.

When banks asked why I wanted︀ a USA account I told the truth: I want to bank in best, most efficient︁ and best customer service banking system in the world and most of my customers also︂ bank with USA banks. Only other questions were related to what my company did...nothing all︃ that interesting.

Now if you have odd wires from odd banks, I would expect many︄ questions and possible closure if the bank does not like what it sees...same as ANY︅ big global bank. I do not and thus am enjoying my TWO USA bank accounts.︆

So when you read "it is impossible" being posted by someone who is selling something,︇ be skeptical. Common sense, a bit of research, personal visit and honesty still work.

Now take this free advice and go visit USA and get your corporate account!

 

[Piri Erts]

And I am NOT A USA PERSON....

 

[KraftyAndy]

EIN/ITIN are just identification⁢ numbers, however they put you on the radar.

You said that your company is incorporated︀ in the BVI. If your company has business activities in the United States (including virtual),︁ you may be required to file an annual return with the IRS. The absence of︂ a DTT between the US/BVI is potentially a major problem for any BVI corporation that︃ transacts in any shape or form in the United States.

All states require an︇ annual report to maintain good standing.

 

[Piri Erts]

Usually true, but the "annual report" in most states is merely paying a small fee︃ and confirming registered agent/address. There are no financial reports to be filed. Contrast this with︄ USA's new reporting requirements for single member LLC's...basically kills that structure for most non USA︅ persons as MAJOR reporting needed. Indeed, if it were not for this new reporting requirements︆ I would have chosen a USA LLC instead of BVI.

Also, I filed for a︇ license to do business in a state as a foreign corporation...no annual filing required and︈ if so would merely be an annual fee. I also specifically stated on IRS application︉ for EIN that purpose of EIN was to open a bank account. I have no︊ connection whatsoever with USA except for bank/brokerage accounts. By far best solution for anyone who︋ is transparent with no business in USA. And my country of residence has no FATCA︌ agreement with USA....another bonus!

 

[HKTT]

Let me just interject here on those saying US account is reason for closure.

There are thousands of US expats around the world using transferwise to save on wire and‌ forex charges with their US bank accounts.

 

[Martin Everson]

The issue is⁠ not the fact a person is a US person. The issue would be for them⁤ failing to identify you as one on their systems if indications are there thu&¤#. I⁣ personally would avoid banking in the U.S like the plague.

Anyone would like to know⁢ the reason for what happened to your account if you do ever find out.