Would you allow a non-customer to call in to do a Visa advance on their card and then credit the funds to a customer's account or make a customer's loan payment?

Sonj

That's a gutsy move. No signature, card not present. What are you going to do if the card information was stolen?

make a customer's loan payment?


That would violation VISA rules also.

Absolutely not!!! As Randy stated, violation of VISA rules.

Related thread with citations

We would be doing the credit card advance from a different card than from our bank issued card. Is this still a violation or the VIsa/MC rules?

Yes, this is considered refinancing debt. You can't use a card to do it. VISA/MC permit the "balance transfer checks" as a means to move debt from one place to another. You cannot use plastic to accomplish this end.

Brian, Could you refer me to some "reading" information so I can show this at my institution as proof. Thanks.

Banker, click on the related thread link above. This question has been asked previously and I have provided the citations in that thread.

Just to clarify - I believe Visa allows and offers incentives to pay for current loans using debit cards...credit cards are prohibited.

Its a gutsy move to allow this, but technically isnt breaking the rules...

They could go into branch A or even another bank and get a cash advance...then go somewhere and make the payment.