Scotiabank launches ‘Scotia Mobile’ in Barbados

Scotiabank has launched Scotia Mobile Banking services to customers across the Caribbean including Barbados, the Bahamas and Trinidad & Tobago. Customers can now check their balances, transfer funds and pay bills from the convenience of their Internet-enabled mobile phone.

 

“We are thrilled that this week’s mobile banking launch allows Barbadians to manage one part of their busy lives with the touch of a button, at any time, from wherever they are,” said Kevin Teslyk, Managing Director, Scotiabank – Caribbean East. “With Scotia Mobile Banking, our customers will be able to perform their day-to-day banking quickly, efficiently and securely”.

 

Scotiabank’s introduction of mobile banking further demonstrates its commitment to offer innovative, convenient and secure banking solutions for customers. All mobile banking transactions are safe and secure, given that Scotia Mobile Banking operates on the same advanced security platform as Scotia OnLine Banking.

 

Scotia Mobile Banking customers with will be able to:

 

• Check account balances and transaction details
• View credit card and line of credit balances and payment information
• Pay bills
• Transfer funds between accounts

 

EU Parliament bids to stifle derivatives trading

The EU Economic and Monetary Affairs Committee has called for an outright ban on speculative trading in certain derivatives contracts and the imposition of higher capital requirements for firms handling contracts that are not cleared centrally.

In a resolution approved last week, the Committee says proposed EU rules on derivatives trading must be made clearer and tougher, so as to reduce speculative trading and ensure that as many derivatives as possible are traded through open channels that are subject to standards.

The Committee resolution advocates "abandoning the misjudgment that derivatives need no further regulation because they are only used by expert financial professions". Instead, it calls for strict rules to prevent inexperienced users and speculators from building up dangerous levels of risk and a total ban on speculative credit default swap (CDS) trading,

The resolution calls on the Commission to study ways to significantly reduce the overall volume of derivatives traded. It also backs proposed rules that would impose higher capital requirements on financial institutions involved in bilateral derivative contracts which are not cleared centrally, but suggests that such requirements may be waived if the clearing system used is deemed strong. It also proposes granting regulators the power to impose trading position limits, so as to counter "unsustainable levels of speculation".

The Committee urges that future EU legislation should include rules banning purely speculative trading in commodities and agricultural products. Upper risk limits should be considered for trade in agricultural products and in each specific commodity, including greenhouse gas emission allowances, so as to reduce speculation and help these markets to function transparently, adds the resolution.

On central clearing, the resolution stresses that CCPs must not be organised wholly by users and that their risk management systems must not be in competition with each other. Neither should market players have a controlling influence on CCP governance and risk management.

Namibian central bank limits value on cheques to N$500,000

The Bank of Namibia has announced a new limit on the value of cheques, as part of an initiative to reduce payment risk. The new N$500,000 limit on cheques within the National Payment System (NPS) became effective on 10 June. The central bank said that in line with this decision, no person will be allowed to split cheque payments into units of N$500,000 or less, if such multiple cheques are issued for the settlement of the same transaction. Businesses and the general public have been urged to consult with their banking institutions to determine how payments exceeding N$500,000 should be settled. Cheques that are issued for more than N$500,000 will also not be accepted from a Namibian account in payment of a Namibian account.

The Bankers Association of Namibia (BAN), which includes the four commercial banks, has advised customers as well as businesses to ask their bank to rather effect an electronic funds transfer or a bank credit transfer on their behalf.

BAN also emphasised the fact that the Bills for Collection service has additional costs attached to it and is subject to possible delays in final payment. “Special arrangements could be made to manually present the bill (cheque) for payment to the drawee bank; however such arrangements are also subject to the payee bank’s willingness to accept high value (bills) cheques for collection manually. It is therefore recommended that this collection process be availed on an exceptional basis only,” said BAN president, Ian Leyenaar. He added that the changes to the NPS required significant system changes in the banking industry as the country move towards clearing funds under a “real-time” system for amounts in excess of N$500,000. “We encourage individuals and clients to review their particular position without delay and discuss any concerns or questions they may have with their banking institution. It is also recommended that, if possible, the new procedures, if any, be implemented as soon as possible,” said Leyenaar. The BAN president said the banking industry hope to reduce some of the risks that both clients and the banks face with regard to the process of making payments.

Swiss Parliament recommends UBS accounts be handed to US

A Swiss Parliamentary committee has recommended that UBS hand over details of account holders to settle a potential law suit against the bank. The accounts belong to almost 4,500 US UBS customers suspected of using the bank to avoid paying tax.

Reports claim that the lower house of the Swiss Parliament is due to hold a debate while some commentators have also called for a public referendum on the matter, which would see Swiss secrecy laws changed if the accounts were to be published.

A referendum is expected to delay a potential agreement being made by several months.

Simonetta Sommaruga, a Social Democratic lawmaker said: “The fact is that if UBS has a problem, Switzerland has a problem too.

“That’s why we have to help out UBS with this settlement. A rejection would cause considerable damage to the economy.”

The US authorities launched legal action against UBS during February of 2009, claiming that the bank had helped as many as 50,000 clients avoid paying tax through its accounting system.

However, the government agreed to abandon suing UBS in return for the disclosure of the details of a number of clients.

Bank Operations - HSBC managers now talk to customers via webcam

HSBC has introduced a new consultation service that allows Premier customers in Hong Kong to hold virtual meetings with the company managers online. Customers are able to get access to the Live Connect service through the bank's Web site, clicking on a button to open a window containing a real-time view of their relationship manager.

Speaking to the managers via a webcam and computer speakers consumers can ask their questions and get instant financial advice on products.

While at the initial stage the service is being launched for Premier customers, eventually it will be extended to all sites in Hong Kong by the year end.

HSBC also launched Let US Call You service that allows customers leave their request online and be recalled immediately by the bank representative who will speak the language specified by a consumers on the website.

Credit agency regulator proposed by EU

The European Union (EU) has proposed the creation of a new regulator to monitor the actions of credit rating agencies within the eurozone.

According to reports, the new European Securities and Markets Authority would have oversight for agencies operating within the territory as well as offices outside the EU. The step follows criticism leveled at agencies, which suggested the current debt crisis within the EU has been worsened by their grading.

A second piece of proposed legislation calls for an overhaul of the way banks are managed, which included analyzing how corporate boards are established and remuneration processes for top bankers.

Michel Barnier, EU financial services commissioner, said: “The changes to rules on credit rating agencies will mean better supervision and increased transparency in this crucial sector.

“But they are only a first step. We are looking at this market in more detail.”

The new agency would see national bodies transfer their supervisory powers to it under the terms set out by the EU.

Heads of member states are expected to discuss financial regulation when they meet at the G20 summit in Canada later on in June.

Remittances - MoneyGram expands in Nigeria

MoneyGram International has announced that it will provide money transfer services at more than 500 First Bank of Nigeria locations across the west African nation. The agreement with First Bank of Nigeria PLC expands MoneyGram's presence in Nigeria, which dates to 1998.

First Bank, established in 1894, is Nigeria's oldest bank, with one of Nigeria's largest networks, MoneyGram said.

Nigeria, Africa's most populous nation, is ranked among the world's top 10 receiving countries for money transfers, MoneyGram said. The World Bank estimates that $10 billion in remittances was sent to Nigeria last year, with the U.S. the primary sending country.

Nigeria is widely recognized as the country of origin of many e-mail scams and financial fraud operations involving money transfers.

Company spokeswoman Lori Burzynski said MoneyGram data show that less than one-half of 1 percent of the company's total transactions represent third-party fraud. She said MoneyGram has committed "significant resources to building a state-of-the-art consumer anti-fraud program, and we continue to improve the program."