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#2244321 - 10/20/20 05:05 PM Cash Back to Non Customer
WDCA Offline
Member
Joined: Nov 2015
Posts: 85
Are there any concerns or best practices for when a non-customer makes a deposit or loan payment on behalf of a customer and requests cash back?

i.e.Loan payment amt is for 275.00 and is paid with 300.00 cash with 25.00 back to the non-customer

Would putting the non customer info into our system/running OFAC be over-sufficient?

Any best practices, if any, would be greatly appreciated!

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Deposits and Payments
#2244332 - 10/20/20 06:10 PM Re: Cash Back to Non Customer WDCA
rlcarey Offline
10K Club
rlcarey
Joined: Jul 2001
Posts: 83,396
Galveston, TX
If you are allowing someone to conduct transactions on an account for which they have no authority to do so, then you have more problems than worrying about making change for them. What if these parties are in a lawsuit and this action jeopardizes your customer's position or something similar?
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The opinions expressed here should not be construed to be those of my employer: PPDocs.com

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#2244337 - 10/20/20 07:29 PM Re: Cash Back to Non Customer WDCA
John Burnett Offline
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John Burnett
Joined: Oct 2000
Posts: 40,086
Cape Cod
You should not do "cash-back" transactions for anyone but the account owner, and never for an entity.
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John S. Burnett
BankersOnline.com
Fighting for Compliance since 1976
Bankers' Threads User #8

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#2244343 - 10/20/20 07:39 PM Re: Cash Back to Non Customer WDCA
WDCA Offline
Member
Joined: Nov 2015
Posts: 85
Thank you both!

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