JOHANNESBURG, South Africa—When the bank you used to open a checking account is no longer offering it, you may be wondering why.
You’re not alone.
Many banks and other financial institutions, including some small ones, are finding it difficult to accept the digital payments they once relied on for deposits.
“It’s a big deal for us because it’s a way to keep our clients’ money safe,” said Nana Wessel, CEO of Wessel Group, which offers financial services in South Africa.
The South African central bank said last month it had stopped accepting payments from electronic payment systems, including PayPal, the world’s largest, from January 1.
It is the latest move to stem the growing number of digital payments that are now available.
The central bank says banks can no longer accept electronic payments, which are not tracked by the country’s central bank, unless they can prove they have a strong record of managing risk.
PayPal says it is investigating the matter and declined to comment.
Some countries are trying to curb the growth of digital banking.
Canada recently announced it would allow only cash deposits and withdrawals from banks and credit unions, but has also banned electronic payments from most other financial services.
A recent survey by HSBC showed that bank accounts and bank accounts receivable fell in North America and Europe, and the number of new debit card transactions has more than halved since 2009.
The International Monetary Fund said last week that digital payments are increasingly being accepted in some countries, particularly in emerging economies such as China.
The global economy has been growing for years, but its pace has slowed, and there has been a sharp slowdown in China’s growth.
The world’s top banks have been facing pressure from their clients to make more in-person cash withdrawals.
Last year, the International Monetary Board said it was worried that a slowing economy and rising inequality were pushing the world economy to the brink of a financial crisis.
The U.S. government is considering imposing regulations on how banks and payment companies manage their risk.
But most economists say those measures won’t have much effect unless banks and payments companies make some changes to their business models to make them more efficient.
The bank you now open a bank account with may no longer be accepting cash, so what can you do?
There are many things you can do to avoid a bank closing an account.
You can call the bank.
If you have a checking or savings account with a local bank, you can get a written confirmation that the account is closed.
If the bank says it can no long close an account, you need to get a letter from the bank, which must explain why it can’t.
In some cases, a letter signed by a bank executive is sufficient.
But in other cases, the letter must show the bank is confident that it can close the account if it so chooses.
The letter should include information on any financial risks, such as a bank that has failed to maintain adequate capital or has been unable to meet its obligations.
For more tips and advice on how to manage digital money, visit this article from the University of Southern California’s Center for Digital Media.
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