Alvin Tan on remittance failures
The Monetary Authority of Singapore (MAS) received fewer than a hundred complaints about alleged failed remittances in 2023, amounting to less than 0.01 per cent of the total value remitted from Singapore. MAS Board Member Alvin Tan revealed the figures in Parliament on Wednesday (Jan 10). He said licensed payment service providers must ensure that money accepted for transfers is deposited into the designated recipient’s account within three to seven business days and provide documentary evidence of this. They must also do due diligence on intermediary institutions they work with, such as banks, operators of card payment systems or third-party agents. MAS will take regulatory or enforcement action if there are any breaches. Replying to MPs’ questions, Mr Tan said in the case of recent disputes regarding remittances to China, the funds were successfully remitted and deposited, but were then frozen or forfeited by Chinese law enforcement agencies. Singapore police have received more than 670 such reports as of December 15, 2023. Mr Tan said Singapore authorities are trying to find out why recipients’ bank accounts were frozen. To minimise risks to consumers, MAS has also temporarily suspended the use of non-bank and non-card channels for money transfers to China.
The Monetary Authority of Singapore (MAS) received fewer than a hundred complaints about alleged failed remittances in 2023, amounting to less than 0.01 per cent of the total value remitted from Singapore. MAS Board Member Alvin Tan revealed the figures in Parliament on Wednesday (Jan 10). He said licensed payment service providers must ensure that money accepted for transfers is deposited into the designated recipient’s account within three to seven business days and provide documentary evidence of this. They must also do due diligence on intermediary institutions they work with, such as banks, operators of card payment systems or third-party agents. MAS will take regulatory or enforcement action if there are any breaches. Replying to MPs’ questions, Mr Tan said in the case of recent disputes regarding remittances to China, the funds were successfully remitted and deposited, but were then frozen or forfeited by Chinese law enforcement agencies. Singapore police have received more than 670 such reports as of December 15, 2023. Mr Tan said Singapore authorities are trying to find out why recipients’ bank accounts were frozen. To minimise risks to consumers, MAS has also temporarily suspended the use of non-bank and non-card channels for money transfers to China.
