But still, accounts are sometimes closed. Why is this happening and how to avoid it?
This material will:
- Several real cases for understanding the situation as a whole;
- Reasons for closing accounts in payment systems;
- The principle of working with payment systems, which reduces the risk of freezing and closing an account.
How and for what accounts are closed in payment systems
Let's consider three cases from our practice that will show how easily some payment systems can close accounts. For security reasons, we will not write the names of these payment systems, but most likely you will guess which of them we are talking about - most often it is popular payment systems that are heard.
Case number 1: closed the account and sent all the cryptocurrency
A well-known payment system or even a neobank. Registered in Europe. Allows you to open personal and corporate accounts, convert currency without commission, withdraw money from the card, trade cryptocurrency and even buy stocks.
Complaints about the freezing / closing of accounts come constantly, almost always - without explaining the reason. Getting an explanation, as well as getting a refund, is extremely difficult. The wait can drag on for several months.
A fresh case from our client: the account was closed, no explanation. The funds on the account were, including in cryptocurrency. For the latter, the worst came out: the payment system sent all the assets back to the cryptocurrency exchange.
In other words, she disposed of other people's funds at her own discretion, without asking the owner's opinion.
Latvian banks acted similarly in 2018, when clients from Russia, Ukraine, Kazakhstan and others “suddenly” became unreliable. Investors even filed a lawsuit in connection with violation of the contract and the terms of notification.
In this case, it is still not clear with the payment system how to return the blocked and sent funds, but the person is already opening an account in a new location.
Case # 2: freezing an account once a week
Another payment system, Lithuania, is popular with entrepreneurs from all over the world, including Russia. The client company operates in the EU, but the business is considered risky.
It turned out to be really simple to open an account: fill out a questionnaire, submit documents online, identify yourself and more. For a week or even two, everything was smooth and easy: the deals went through, the clients paid, the salaries of the employees were accrued.
And then the account was sharply frozen. Why? It took almost the entire day to find out, as support was slow to respond. It turned out that an automatic system worked, which suspected an atypical transaction and raised the so-called red flag. The payment system managers sorted it out and reactivated the account.
For three days the situation improved, and then another failure and freeze happened. For several weeks, the account was constantly blocked along with all funds. Deals were hanging, nerves were wasted.
The payment system, despite an active advertising campaign and assurances of openness to everyone, worked with a risky business in a completely unpredictable manner.
As a result, the business owners got tired of all this, they went in search of adequate solutions. They contacted us and were able to open an account first in the payment system, which is focused on working not only with risky clients in Europe, but also with offshore companies. And after a while, they prepared the documents, passed a meticulous check and opened a bank account.
Case # 3: sales growth as a reason for closing an account
Next example: a small internet business selling video courses. The owner tested the niches for a while and the turnover was very low. I connected a popular Western payment system with the ability to process cards.
For half a year everything went great, modest amounts were credited to the account of the payment system, withdrawn to a bank account without any questions.
In the sixth month, the owner selected a suitable product, launched a serious advertising campaign and attracted several times more customers for a relatively expensive product. Income to the account of the payment system increased by about 20 times.
A week later, the account was frozen for withdrawal and a notification was sent: suspicious activity. They demanded to provide documents, explain the type of activity, show other company accounts. The owner decided to act independently, provided documents and explanations on the business as he saw himself.
He turned out to be wrong: the payment system considered his activity risky, froze the account, and prohibited accepting payments. The only good news was that the funds were promised to be sent to a bank account within 120 days, if there were no claims for a refund from customers. In this case, the period will be extended for another 90 days.
As a result, the money was returned, but the account had to be opened in a new place and after consultation with specialists.
Why are accounts in payment systems closed?
We highlight several global reasons why popular payment systems close customer accounts:
- Targeting a wide market - in practice, this means that only very simple and understandable businesses can work more or less smoothly. Moreover, again based on practice, we are talking about relatively small companies or already about giants, with which individual managers work. If you are at least a little out of the way of the "ideal client", then the account can be closed at any time without much explanation. In such payment systems, the principle "quickly open - quickly close" often works.
- – , : ? , , IT- fintech-, . . , - «VPN» .
- . , . . . , : «, », – «» « !»
- . , . «» – . , , . , , , - . – ! – , , .
The worst thing is when accounts are not just closed, but when funds are frozen for an indefinite period, when technical support does not give answers or even disposes of funds at their discretion. This is an arbitrariness that you have to put up with at a particular moment - for an “ordinary” person or company in popular mass payment systems, there is often no time and resources.
However, you don't have to put up with the whole thing! Let's figure out how and what needs to be done to keep the account and let it work in peace.
How to work with the payment system so that the account is not closed
The process can be divided into two conditional stages: selection of a suitable payment system and daily work with it.
Selection of payment system
A lot of problems faced by entrepreneurs who have opened an account in a payment system are primarily associated with the wrong choice of instrument.
What should you pay attention to?
- On the types of activities that the system works with and whether you are suitable for them - for example, you supply drugs, but such a business is not served;
- Types and conditions of transactions that the system allows: buying cryptocurrency, transferring to a bank account, transferring to a specific country, transfer amount, and so on;
- Preliminary check: it is better to study you and your company at the start than to torture you with constant checks and blockings in the process;
- : , (, PayPal), , .
Where to look for alternatives? Search engines can be used, but they will not show everyone. Some very interesting platforms are not promoted at all by standard marketing routes and accept clients, for example, by invitation only.
In addition, if you find an interesting solution, it is not a fact that you will learn all the nuances. For example, the message about the opportunity to work with offshore companies is almost never placed on the main page and is communicated only in a personal conversation. Of course, sending out emails asking about hidden opportunities will be a long process.
The solution to the problem is to use the services of professionals and choose a payment system together with them. In many cases, the picking service is free.
How it's done? You answer a list of questions, including the type of business, the main partners, the country of registration of the company and the country of residence of clients, the planned turnover, and so on. Based on this information, the expert will offer a list of payment systems that are most suitable for you.
If desired, he will also introduce you, help you prepare documents and open an account.
It is very pleasant that payment systems almost always open accounts remotely without the need for a personal visit. Although an interview via messengers may be required.
Then you prepare the documents, send them for verification, wait for a decision. With the right training and professional help, the chance of rejection is minimal. If it happens, it is most often due to the fact that the client has hidden some information about himself or the company. However, it is always worth remembering that the final decision to open an account is always made by the payment system or bank.
Daily work with the payment system
When the payment system is chosen and the account is opened, it would seem that life becomes easier. This is true if you have opened an account with a suitable payment system. But this does not negate the need for some safety net to keep the account in the future.
A few tips to help you work long and fruitfully:
- : , ;
- : , , – ;
- : , , . . – . .
And one more piece of advice that is useful for any modern business: do not dwell on one account. Unfortunately, even an ideal payment system can close down, change the rules, and become less convenient. If you depend on one account, then any change for you is a shock or a disaster.
Having a second and third reserve account is a diversification of risks.
Accounts can be opened in payment systems, banks, neobanks, in different countries and different currencies. As the saying goes, don't keep all your eggs in one basket - it's too expensive.
We hope you found the material useful. Share in the comments, what were the most unpleasant situations with payment systems? How did you close it, for what reasons and how did you get out of the situation?
Share your experience!