Banks find a new way to be villains over Haiti disaster
We have shied away from reporting on the terrible tragedy in Haiti. Firstly, we are simply too stunned by the magnitude of the disaster and suffering to be able to cover it effectively. Secondly, it is not an area we have any great expertise and insight into so feel we would just be adding further unnecessary noise to what is already a cluttered reporting landscape.
However, there is a side story to this disaster that should not remain uncovered, and that is the role of the banks and credit card companies in slowing down the collection of aid monies due to their bureaucracy and internal audit inefficiency. The banks’ automated systems are blocking a large number of donations. First-time payments to charities are often automatically blocked as “unusual transactions”, leaving donors frustrated. The only way this can be corrected is for customers to contact them to clear any blocked payments. This slows the flow of funds, and at this time and place, this is something we don’t need. We request the banks to do better on this, and quickly. The need for aid monies is urgent and Haitians are in dire need. Banks need to funnel those monies as quickly as possible and without placing impediments in the way.
“Banks are blocking donations to charities and it is absolutely ridiculous because at this time that is what people want to do to show their support.
“Ring your card company and tell them that you are really annoyed and make sure they take the block off so you can use the card.”
The scale of the problem is not clear but the Red Cross has confirmed that it does occur with a small proportion of online donations.
Other listeners have also contacted Money Box to say their online donations to a number of charities with various cards have been blocked.
Ms Baker thinks the banks need to sort out their systems.
“It is really pressing with the Haiti appeal that the charities get the money as fast as possible with no difficulties,” she said.
HSBC told Money Box: “The vast majority of our customers’ donations to charities are made successfully, and it is only cards following a suspicious pattern of transactions that may be declined.”
BBC News – Haiti online donations blocked over fraud concerns
