HSBC Suspends Online Payment To Customer That Attempted Purchasing Bitcoin for Medical Cannabis
HSBC, the recognized bank and financial institution, decided to suspend an online payment made by one of its customers. The person wanted to purchase Bitcoin (BTC) that would be used to buy medical cannabis for his 70-year-old wife. Banks have usually taken several measures against individuals that purchased Bitcoin with their bank accounts. The information was released by Tony Hetherington, a Financial Mail investigator.
HSBC Suspends Customer's Payment
Although virtual currencies have expanded all over the world, there are still some banks that do not want their customers to make Bitcoin purchases.
The HSBC customer affected by the decision implemented by the bank commented:
“I tried to buy Bitcoin using my online account with First Direct, which is part of HSBC. Not only was the transaction declined, but the bank froze all my online payments and insisted that I had to phone them instead. I was then told I could make online payments again, but only to previously existing accounts.”
The bank flagged as suspicious the transaction that the client made since he attempted at purchasing medicinal cannabis through a vendor that only accepted Bitcoin as a means of payment. Although he was frustrated about the situation, the customer tried once again to purchase the digital currency but he was blocked once again. The firm claims that it was trying to protect the customer.
Hetherington suggests that the company was trying to pretend itself rather than the client. The bank could have been affected by this purchase and accused of being laundering money, even when the transaction was legitimate.
Banks are all the time watching unusual transactions since they have been involved in many controversies regarding their role in money laundering activities. One of the banks that was fined due to performing illegal activities is Deutsche Bank.