posted on October 24, 2000 12:35:28 PM
I live in Canada. Today I wanted to deposit US green postal money order in my bank ( Royal Bank of Canada ) and suddenly it wasn't accepted ( before it was fine ).
They told me, that USPS told them not to accept it (it was a thread recently about that, that want to stop money laundering?),
but I thought, that it will be only after New Year. So, it looks like I should send it back and ask for check or international money order.
Is it possible for that guy to get his money back from USPS without any charge?
Another problem is, that I already sent an item and posted a positive feedback
( at least the sum is not big).
What do you think about that?
posted on October 24, 2000 12:49:39 PM
Sounds to me like the folks at the Royal Bank need a swift kick in the arse? Ask to speak to the manager, and ask him/her what the difference would be between a Domestic USPS MO, or an International one, with regards to money laundering?
Then tell him/her that if they won't accept this low $$$ MO that perhaps it's time for you to take your business elsewhere.
If you send the MO back, the buyer will be able to cash it in at their PO, but who knows if they'll send another one to replace it?
If it's a low $$ amount I'd ask them to mail a personal check & deduct the cost of the stamp & envelope for them. This is your problem, not theirs.
BTW - My branch of the Bank of Montreal still accepts the USPS Domestic MO's, no problem.
Thanks for your response.
I'll try to talk to the manager.
Is it possible to cash this money order
in MoneyMart or somewhere else?
In the worst case I'll send it back and will
ask for check with expenses deducted, you are
right, it's my fault. Hopefully, I'll get it.
I don't remember, was in that thread anything
about US domestic bank money orders, are they still fine?
posted on October 24, 2000 01:35:16 PM
CIBC has gladly accepted many many of the domestic M.O from me without a raised eyebrow. Royal isn't the only bank in the country, threaten to move your business elsewhere.
posted on October 24, 2000 01:36:34 PM
If it's true the USPS has asked them to stop taking them it's only because, like us, our american friends have to shell out more dough for an international money order. It's in their best interest to not allow them in Canada!
[ edited by guuuyyy on Oct 24, 2000 01:39 PM ]
posted on October 24, 2000 01:56:06 PM
It seems to be a decision done at the local level. Reddeer has no problem cashing the 'greenies', but none of the banks I deal with will touch them. I even tried the local US Embassy and they just laughed at me.
Your buyer will be able to get his money back from USPS, less any service fee he paid when he got the money order.
Your problem is now hoping you get a "pinkie" from your buyer to replace the one you can't cash. In spite of my TOS where I specifically state the proper type of money order to be used, I received 3 'greenies' from 3 separate buyers, sent them all back, and haven't heard from any of them since
posted on October 24, 2000 01:56:36 PM
I just had this problem with the Royal, after they had specifically told me last February they would accept the green m.o.'s. I kicked up quite a fuss about it and will be closing my account with them since they renegged on a service they said they would provide. Past experience has taught me not to send the m.o.'s back since about half my sales fell through because of that. In the meantime, I went to Money Mart who gladly accepted them. This latter may be your best course of action. I am really p*** off about the whole matter.
posted on October 24, 2000 02:39:18 PM
Here's the story that the Toronto Star featured. Sounds like a load of B.S. if you ask me. International USPS MO's cost $3 a pop, Domestic cost 80 cents. Seems to me the USPS is just trying to increase their revenue.
posted on October 24, 2000 02:56:55 PM
REDDEER: It does seem ridiculous that some small seller, depositing small $ amount green postal money orders, could be involved in this money laundering business. Yet the bank seems to have thrown the baby out with the bath water by clamping down on all the U.S. green money orders. The interesting question is, how will their deposits be affected when a number of irate customers just close their accounts for such high-handed arbitrary treatment. (You should have seen the scene I had with both the teller and the manager over this). What a drag, drag, drag!
posted on October 24, 2000 03:28:54 PM
Well if you will allow me to cover the cost of buying the pink and mailing it send your greenie to me and I will cash it out and send you a international just to help a fellow auctioneer. Not as a regular thing understand. Send mail to [email protected] encrypted if you use that system. For mass laundering I charge.
I do snail mail forwarding and delay also. A 900 feedback user.
[ edited by macandjan on Oct 24, 2000 03:30 PM ]
I think after trying "to find the truth" in my branch I'll try another bank and then will go to Money Mart, how much is their fee?
macandjan, thanks. You know, it's under $10,
so it will be probably nothing left after buying the pink (that's why I recommended
my buyers to buy green one!).
Thanks for all advices and opinions.
posted on October 24, 2000 05:08:10 PM
The money laundering laws are based on quirk in that US legal system that allows property to be charges with a crime and considered guilty until proven innocent.
The reason why Royal is getting nasty is that they have assets in the US (Security First Network Bank) that the US gov't could seize or revoke the charter for. The US Gov't is very paraniod about money laundering.
I work for a brokerage company, and we will NOT accept money orders or cashiers checks from our clients for fear of running afoul of money laundering regs.
posted on October 24, 2000 05:24:50 PM
I've deposited the green ones with the TD for almost 4 years, never a problem, last week my gal at the bank called and said "no more greenies", so it looks as though TD has adopted the same stance as the Royal.
[ edited by overworked on Oct 24, 2000 05:26 PM ]
posted on October 24, 2000 05:36:26 PM
VISUAL99: Regarding the fees at Money Mart, they charged me $1.99 per money order plus 2.99% of the total amount of the money orders. This resulted in an overall cost of 17% of the total face value of the m.o.'s, a hefty amount on small sales of under $20. Since I had no other alternative, I went with it. After encountering this situation, I did an analysis of nearly 200 sales and found that 9% paid by USPS green money order and most amounts were under $20. So I'm trying to decide what to do now. After all this brouhaha over the money laundering, should I approach other banks, e.g. B of M or CIBC to see if they'll take the m.o.'s?
Any input on this appreciated.
posted on October 24, 2000 07:06:53 PM
Do you guys in Canada have this? We have cops sending an appraiser out to value the property now before they decide if they should do a drug raid. Guy out in California was raided because they found out his new girl friend had a drug conviction 20 years back. This is the basis for a warrant? He got the first 2 through his bedroom door but the third got him. What killed him was the ranch was worth 4 million. The money laundering is a real problem when it gets the money where they can't get at it!
How many of you are going to stand and buy one after another of money orders in order to launder it. Isn't that a bit obvious?
