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#1979003 - 11/25/14 05:36 PM Gift Card purchase with a Cr Card
ahou Offline
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ahou
Joined: Aug 2002
Posts: 3,094
If a person buys gift cards worth $11,000 using a credit card, are there any reporting or recordkeeping required under BSA?
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#1979012 - 11/25/14 06:04 PM Re: Gift Card purchase with a Cr Card ahou
BrianC Offline
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BrianC
Joined: Nov 2004
Posts: 6,724
Illinois
No cash exchanged hands so no CTR. Although you may be performing a "cash" advance on the credit card, this does not trigger reporting requirements. You should already have a process in place for monitoring gift card sales for suspicious activity.

From a fraud perspective, make sure you obtain a valid authorization on the card. Cash advance scams often try to trick tellers into obtaining a verbal authorization by contacting a phone number the customer supplies. Of course the phone number is to the accomplice in the parking lot which leads the teller to force through a transaction with no proper authorization and the Bank will lose a chargeback in that case.
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#1979030 - 11/25/14 06:21 PM Re: Gift Card purchase with a Cr Card ahou
ahou Offline
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ahou
Joined: Aug 2002
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Does Walmart have MSB recordkeeping responsibilities when selling gift cards (using a cr card) in amt over 10,000.
I think this is what my customer is trying to tell me.
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#1979035 - 11/25/14 06:29 PM Re: Gift Card purchase with a Cr Card ahou
rlcarey Online
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rlcarey
Joined: Jul 2001
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Galveston, TX
What does Walmart have to do with this?????
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#1979040 - 11/25/14 06:36 PM Re: Gift Card purchase with a Cr Card ahou
ahou Offline
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ahou
Joined: Aug 2002
Posts: 3,094
One of our customers asked why WM wanted identifying info when they purchased $11,500 worth of gifts cards. She bought the cards as Christmas presents for her employees.
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#1979049 - 11/25/14 06:42 PM Re: Gift Card purchase with a Cr Card ahou
rlcarey Online
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rlcarey
Joined: Jul 2001
Posts: 83,396
Galveston, TX
You should tell her that she needs to ask that question of Walmart and not the bank. I'm sure it is security related as they are the victim of consistent fraud - but only they can answer that question.
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