Westpac leaves remittance business

Font size :
Westpac has joined the roster of big banks which have recently retreated from the $425bn global remittance business, following rising regulatory compliance costs.
 
Australia’s No.2 lender by market value agreed to close remitters' accounts after 31 March, giving affiliated remittance firms more time to close their accounts. The lender also said it will provide money transfer operators time to come up with alternative banking arrangements before Westpac entirely closes its remittance services next year.
 
Westpac faced lawsuits in November from over 20 remittance firms to as they argued that the sudden closure could hurt their business.
 
"We asked Westpac to provide a reasonable time before they close the accounts. Now Westpac has agreed for March 31. At that time all accounts will close," Richard Mitry, a lawyer acting on behalf of remitters, told Reuters.
 
Mitry added an appeal to contest the settlement is unlikely. It is subject to court approval on 24 December.
 
"We are continuing to work closely with the government, regulators and our customers to see what longer-term solutions may be possible to support and help make such payments in the future," Westpac said.

Whether you are looking to buy your first home, move home, refinance, or invest in property, a mortgage broker can help. Access loans from all the major lenders, get help with paperwork – plus there is no charge for this service. Get help from a local mortgage broker

Mortgage News and Articles

How to tell when a housing market is cooling How to tell when a housing market is cooling

You need to check clearance rates, listings, and the price gap, among other factors Read more

Growing demand for green apartments in Sydney Growing demand for green apartments in Sydney Both owner-occupiers and investors favour eco-friendly buildings for their energy-saving features and reduced environmental footprint ... Read more

Are property investors as rich as they appear? Are property investors as rich as they appear? A multi-property portfolio doesn’t guarantee easy millions ... Read more

Be proactive about getting a better mortgage deal Be proactive about getting a better mortgage deal Apathy could be costing you a considerable amount of money over the lifespan of your loan ... Read more

More mortgage news and articles

Sponsored Links

Friday, Sep 22, 2017
Top Featured Rates
Top Bank Rates

Get help choosing the right home loan

Let us help you find the right home loan for your needs.

Tell us a bit about your circumstances:
  • Purpose of mortgage
  • Household Income
    $
  • How much do you want to borrow?
    $
  • How much deposit do you have?
    $
  • How much is your house worth?
    $
  • How much do you still owe on your mortgage?
    $
  • What type of mortgage do you have?


  • How much is your new home?
    $
  • How much do you want to borrow?
    $
  • How soon do you want a mortgage?
Next
  • First name
  • Last name
  • Where do you live?
  • Phone number

Special Offers

Related Keywords