The Laundry Man by Kenneth Rijock ( Penguin/Random House UK)

Monday, June 12, 2017


If you read my recent article, Here is the Solution to your KYCC/Correspondent Banking Conundrum*  (March 2, 2017), you know that many Caribbean financial institutions have lost their American correspondent relationships, due to what the media refers to as "de-risking," forcing them to seek alternative arrangement in Europe, which has resulted in increased transaction costs, as high as 300%.

Banks in other regions of the developing world are also reporting that their US banking relationships have been terminated, and everyone is looking for a solution that is not prohibitively expensive for clients. Using a European bank, or non-bank financial institution to route US transactions, can result in serious delays, which may cause clients to move their business to the competition.

Fortunately, there is a solution. A very limited number of American banks, which use a Know Your Customer's Customer (KYCC) system, offer those Caribbean banks, who have recently lost all their US bank correspondents, a new relationship, to replace those which have been terminated.

Any reader that wants further information about those banks can email me at   or inquire direct at  . I realize that the loss of a correspondent banking relationship is a sensitive issue, and all inquiries will be held in confidence.

No comments:

Post a Comment

Note: Only a member of this blog may post a comment.