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Spooked by Regulators, Banks See Little Reason to Heed Calls for Stay on De-Risking
By Colby Adams
printIn a rare gesture last week, a federal regulator signaled to banks that they might relax when it comes to implementing certain anti-money laundering policies. There was only one problem: no one is likely to listen. In a letter, the Federal Deposit Insurance Corp. (FDIC) said it had rescinded a list of high-risk merchant customers that work with third-party payment processors, or TPPPs, after banks viewed the document as sufficient reason to turn away the companies. The list cited telemarketers, coin dealers, online pharmacies and other Internet merchants. The FDIC, which first named the business lines in a 2011 informational...
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