Skip to content
BOL Conferences
Learn More - Click Here!

Page 1 of 2 1 2
New Reply Thread Options
#1688173 - 04/12/12 01:10 PM VISA/MC Cash Advance
Anonymous
Unregistered

Are banks required to provide cash advance services? We are looking into stopping our cash advance service for all customers and non-customers due to some operational issues. I know we can't charge a fee to do one but wasn't sure if we are required to provide the service.

Return to Top Reply Quote Quick Reply Quick Quote
#1688338 - 04/12/12 05:17 PM Re: VISA/MC Cash Advance Anonymous
Compli(cated) Offline
100 Club
Joined: Mar 2011
Posts: 185
Wisconsin
Agreements with credit card companies (Visa, Mastercard) require financials to provide these services. So if you have an agreement with a credit card company, you are most likely required to do cash advances for customers and non-customers.
_________________________
Opinions are my own.
"I was gratified to be able to answer promptly. I said I don't know." - Mark Twain

Return to Top Reply Quote Quick Reply Quick Quote
#1688520 - 04/13/12 11:35 AM Re: VISA/MC Cash Advance Anonymous
gacompliancegirl Offline
100 Club
Joined: May 2009
Posts: 234
hanging on by a thread
I tried to get us out of the cash advance business recently. Unfortunately, our agreement with VISA to provide branded debit cards requires that we offer cash advance services. Our account representative told us all of their agreements require that.
_________________________
Help find a cure for diabetes - www.jdrf.org

Return to Top Reply Quote Quick Reply Quick Quote
#1754236 - 11/01/12 04:39 PM Re: VISA/MC Cash Advance Anonymous
SMQ, CRCM Offline
Power Poster
SMQ, CRCM
Joined: Apr 2001
Posts: 4,828
Between the lines
So if I have MasterCard debit cards, I can refuse to do VISA advances but not MC advances?
_________________________
NOLA is my Beach!

Return to Top Reply Quote Quick Reply Quick Quote
#1896334 - 02/12/14 04:16 PM Re: VISA/MC Cash Advance SMQ, CRCM
Diana Timberlake Offline
100 Club
Diana Timberlake
Joined: Apr 2002
Posts: 118
I know this is an old post, but we are dealing with the same question. If we offer Visa and our agreement is with Visa, are we required to do cash advances on Mastercards. I am being told the H & R Block refund cards are Mastercards and we offer Visa. It is noncustomers who are coming in with MC wanted CA for $5,000 +. Can we refuse?

Return to Top Reply Quote Quick Reply Quick Quote
#1896336 - 02/12/14 04:17 PM Re: VISA/MC Cash Advance Anonymous
rlcarey Online
10K Club
rlcarey
Joined: Jul 2001
Posts: 83,219
Galveston, TX
If you don't have a merchant agreement with and don't take Mastercards, you don't take Mastercards.
_________________________
The opinions expressed here should not be construed to be those of my employer: PPDocs.com

Return to Top Reply Quote Quick Reply Quick Quote
#1896339 - 02/12/14 04:19 PM Re: VISA/MC Cash Advance Anonymous
John Burnett Offline
10K Club
John Burnett
Joined: Oct 2000
Posts: 40,086
Cape Cod
No, No, a thousand times no. Even though you issue only Visa cards, the fact that you are able to do MC cash advances means you have a contract with MC through your service provider or you have agreed to abide by MC cash advance rules.

MC does not allow you to discriminate against non customers in providing cash advances. You can't refuse (although there are some provisions allowing you to limit the dollar amount you'll advance if you can't handle the cash volume), and you can't charge a fee.
_________________________
John S. Burnett
BankersOnline.com
Fighting for Compliance since 1976
Bankers' Threads User #8

Return to Top Reply Quote Quick Reply Quick Quote
#1896839 - 02/13/14 04:24 PM Re: VISA/MC Cash Advance Anonymous
Anonymous
Unregistered

There's always the good ol' "Sorry, our machine is out of order" routine.

Return to Top Reply Quote Quick Reply Quick Quote
#1897023 - 02/13/14 07:46 PM Re: VISA/MC Cash Advance Anonymous
Skittles Online
10K Club
Skittles
Joined: Sep 2002
Posts: 13,965
TN
I hope you're joking.
_________________________
My Opinions Only

Return to Top Reply Quote Quick Reply Quick Quote
#1897079 - 02/13/14 08:55 PM Re: VISA/MC Cash Advance Anonymous
Anonymous
Unregistered

Why? Who cares what Visa, MC, Walmart, Target want?

Return to Top Reply Quote Quick Reply Quick Quote
#1897086 - 02/13/14 09:00 PM Re: VISA/MC Cash Advance Anonymous
manimal Offline
Diamond Poster
manimal
Joined: Feb 2008
Posts: 2,207
Deleted
I think management will care when VISA/MC/etc. cancels your FI's contract and you no longer can offer branded cards.
_________________________
We're all here 'cause we've lost control.

Innerpartysystem

Return to Top Reply Quote Quick Reply Quick Quote
#1897093 - 02/13/14 09:04 PM Re: VISA/MC Cash Advance Anonymous
rlcarey Online
10K Club
rlcarey
Joined: Jul 2001
Posts: 83,219
Galveston, TX
I would not be wasting any time on responding to such posts by an ignoramus ----err, I mean an anonymous poster. smile
_________________________
The opinions expressed here should not be construed to be those of my employer: PPDocs.com

Return to Top Reply Quote Quick Reply Quick Quote
#1897103 - 02/13/14 09:16 PM Re: VISA/MC Cash Advance Anonymous
Anonymous
Unregistered

I'll admit to being ignorant (thus, an ignoramus) of any measurable risk that Visa or MC is going to both a) detect such a practice and b) yank a contract as a result.

Return to Top Reply Quote Quick Reply Quick Quote
#1897109 - 02/13/14 09:18 PM Re: VISA/MC Cash Advance Anonymous
manimal Offline
Diamond Poster
manimal
Joined: Feb 2008
Posts: 2,207
Deleted
Yes, Lord forbid you offer actual banking services to members of your bank's community, whether contractually bound or not. crazy

Hopefully a mod will lock this thread since the original question was asked and answered.
_________________________
We're all here 'cause we've lost control.

Innerpartysystem

Return to Top Reply Quote Quick Reply Quick Quote
#1897113 - 02/13/14 09:21 PM Re: VISA/MC Cash Advance Anonymous
rlcarey Online
10K Club
rlcarey
Joined: Jul 2001
Posts: 83,219
Galveston, TX
And such is the state of the world in which contractual obligations can be ignored at will for individual purpose or gain. And we wonder why the banking world is so highly regulated.
_________________________
The opinions expressed here should not be construed to be those of my employer: PPDocs.com

Return to Top Reply Quote Quick Reply Quick Quote
#1897440 - 02/14/14 05:25 PM Re: VISA/MC Cash Advance Anonymous
Anonymous
Unregistered

I think an argument could be made though that:

We have a "Cash Advance" system at our bank. For our customers, we probably process ONE (or less) per month. On the flip side, we are located in a very suburban area and process 30-40 per month for NON-customers. We've tried the old tactic of "you should open an account here" but truth be told, 90% wouldn't qualify for an account. We've tried the "have you used our ATM for a cash advance" but they either don't want to pay the fee, or don't have a PIN number.

The end result is we as tellers are taken away from helping our customers when helping these non-customers. And anyone that has processed a cash advance knows it's not just a 2 minute transaction.

It sucks. We HATE it. I'd love to get rid of the Cash Advance machine altogether. But it's the price of doing business. So we smile and grumble and advance.

Return to Top Reply Quote Quick Reply Quick Quote
#1898101 - 02/19/14 02:54 PM Re: VISA/MC Cash Advance Anonymous
HallieK Offline
Gold Star
HallieK
Joined: Jul 2001
Posts: 369
Oklahoma
Since H&R Block cards where mentioned, we have refused to complete a cash advance for both customers and non-customers, as there is no way to identify who is the owner of the card. The card is simply made out to H & R Client. I feel that we do not have a problem refusing to provide cash advances on these cards since there is no possible way to know who the card was issued to. Does anyone see a problem with this practice?

Return to Top Reply Quote Quick Reply Quick Quote
#1898104 - 02/19/14 03:01 PM Re: VISA/MC Cash Advance Anonymous
Skittles Online
10K Club
Skittles
Joined: Sep 2002
Posts: 13,965
TN
Unfortunately you are incorrect. You must treat these cards as you do any other. I'm sure Brian or someone will add to this with further details.
_________________________
My Opinions Only

Return to Top Reply Quote Quick Reply Quick Quote
#1898106 - 02/19/14 03:06 PM Re: VISA/MC Cash Advance Anonymous
edAudit Offline
Power Poster
edAudit
Joined: Jul 2008
Posts: 4,796
You are here
http://www.hrblock.com/financial-services/emerald-card-services/

Save Money and Avoid Fees

Make purchases, pay bills114 and get cash at ATMs.117 No setup fee, no monthly activity fee, no overdraft fee, no fees on purchases, or customer service calls. Keep more of your hard-earned money to use on whatever you want.

There seems to be some issues with their website as well after clicking on avoid fees they list fees including to add money at a bank but it does not specify which bank.

If you can not determine who the card is payable to send them back to block to get a card in their name. You can always tell them to review their fees on the card for a cash advance over the counter(@ 25.00 for a cash advance that will stop most).
_________________________
Opinions can be considered as coming from anywhere but my employer.

CAMS


Return to Top Reply Quote Quick Reply Quick Quote
#1898108 - 02/19/14 03:07 PM Re: VISA/MC Cash Advance Skittles
edAudit Offline
Power Poster
edAudit
Joined: Jul 2008
Posts: 4,796
You are here
Originally Posted By: Skittles
Unfortunately you are incorrect. You must treat these cards as you do any other. I'm sure Brian or someone will add to this with further details.


How can you process a cash advance with no name on the card?

I do not have much experience with this but we were always instructed to get ID for cash advances.
_________________________
Opinions can be considered as coming from anywhere but my employer.

CAMS


Return to Top Reply Quote Quick Reply Quick Quote
#1898110 - 02/19/14 03:10 PM Re: VISA/MC Cash Advance Skittles
ACBbank Online
Power Poster
ACBbank
Joined: Jul 2006
Posts: 4,344
New York City
Originally Posted By: Skittles
Unfortunately you are incorrect. You must treat these cards as you do any other. I'm sure Brian or someone will add to this with further details.


I'm hardly a Visa/MC expert, but it seems very risky to approve a large cash advance if I cannot link the card to the individual standing at the teller line.

If I'm mistaken, can someone please point out where I should be looking?
_________________________
"100 victories in 100 battles isnt the most skillful. Subduing the other's military w/o battle is the most skillful." Sun-Tzu

Return to Top Reply Quote Quick Reply Quick Quote
#1898112 - 02/19/14 03:12 PM Re: VISA/MC Cash Advance Anonymous
edAudit Offline
Power Poster
edAudit
Joined: Jul 2008
Posts: 4,796
You are here
If this is the same item.

For Merchants

http://www.mastercard.com/ca/merchant/en/solutions/unembossed.html


How Does it Work?

You should not process any MasterCard Unembossed transactions if you do not have an electronic terminal, or if it is out of use. If you accept a MasterCard Unembossed transaction and you do not have an electronic terminal, or it is out of use; you may carry additional liability. MasterCard Unembossed cards include an “ELECTRONIC USE ONLY” legend on the card front to inform consumers that merchants will be processing their transactions using their electronic terminals.
_________________________
Opinions can be considered as coming from anywhere but my employer.

CAMS


Return to Top Reply Quote Quick Reply Quick Quote
#1898114 - 02/19/14 03:14 PM Re: VISA/MC Cash Advance Anonymous
edAudit Offline
Power Poster
edAudit
Joined: Jul 2008
Posts: 4,796
You are here
ww.visa.ca/merchant/products-and-services/prepaid-cards/prepaid-faq.jsp

Where can unembossed Visa Prepaid cards be used?

They may be used at any Visa merchant location worldwide that has an electronic terminal. Where no online-capable electronic terminal exists, or where an online authorization is not available (e.g., parking lot, movie kiosk), use of the Visa Prepaid card is not possible. If a merchant without an electronic terminal manually key-enters the transaction, the merchant runs the risk of receiving a "Missing Imprint" or "Card Not Present" chargeback.
_________________________
Opinions can be considered as coming from anywhere but my employer.

CAMS


Return to Top Reply Quote Quick Reply Quick Quote
#1898122 - 02/19/14 03:33 PM Re: VISA/MC Cash Advance edAudit
Skittles Online
10K Club
Skittles
Joined: Sep 2002
Posts: 13,965
TN
Click Here

See this thread from last year.
_________________________
My Opinions Only

Return to Top Reply Quote Quick Reply Quick Quote
#1898128 - 02/19/14 03:46 PM Re: VISA/MC Cash Advance Anonymous
ACBbank Online
Power Poster
ACBbank
Joined: Jul 2006
Posts: 4,344
New York City
Thank for posting the link Skittles. If I understand this correctly, a non-customer comes in for a cash advance, as an FI that is offering MC branded debit cards, we must provide the cash advance, but can require the non-customer to provide a photo ID?
_________________________
"100 victories in 100 battles isnt the most skillful. Subduing the other's military w/o battle is the most skillful." Sun-Tzu

Return to Top Reply Quote Quick Reply Quick Quote
Page 1 of 2 1 2
Quick Reply:
HTML is disabled
UBBCode is enabled




Moderator:  MagicCity, P*Q, Truffle Royale