I have a friend who works at BMO and they sent me this email they received this morning from their manager.
Currently, customers have the ability to buy and sell cryptocurrencies like Bitcoin through an online cryptocurrency exchange. Just like foreign currencies customers are able to buy and sell cryptocurrencies by setting up an account through a cryptocurrency merchant website. These merchants are set up to accept different methods of payment and once transactions are completed, cryptocurrency is stored with the merchant in a “cryptocurrency wallet”
Due to the volatile nature of cryptocurrencies and to better protect the security of our customers and the bank, BMO has made the decision to block cryptocurrency merchant transactions effective March 1st for BMO Mastercard transactions (both debit and credit) and Interac Online transactions shortly thereafter.
This block includes transactions processed via a BMO MasterCard credit card (including Small Business credit cards), BMO Debit Mastercard and BMO Debit Card (using Interac Online Payment)
For Credit Cards and Debit Mastercards:
* Customers attempting any transactions will be blocked and presented with a message advising the transaction cannot be completed within the site or App being used to purchase the cryptocurrency. Customers signing up for the first time will not be able to use their BMO MasterCard or their BMO Debit MasterCard to register.
For Interac Online Payment Service
* BMO will debit the customer account temporarily and when the finalized transaction is being sent from BMO to the merchant, the transaction will be blocked and present the customer a message advising the transaction cannot be completed. Any funds will be automatically credited back to their bank account within 30 minutes.
* If customers ask why they can no longer make cryptocurrency transactions with their BMO Credit or Debit card, let them know that BMO is taking a proactive approach to protecting our customers’ accounts by blocking merchants who are considered high risk.
* If customers have completed a cryptocurrency transaction which has been blocked using the Interac Online Payment service. let them know they will receive their funds back in their account within 30 minutes. They do not need to do anything to have their funds returned.
* If the funds are not returned to the customers, follow the escalation process outlined
Well, there you have it, folks. BMO has joined TD to block customers from purchasing cryptocurrencies. It’s understandable that they’d block credit cards because people are betting with the bank’s money, I’m surprised they also blocked debit cards along with Interac Online. It’s getting harder and harder for Canadians to take part in the cryptocurrency scene.