i have found that in a few cases the banks are not causing issues due to coinbase being coinbase.
but in reality "chargeback scammers" have tried calling their bank to get their wire transfers reversed after obtaining the bitcoin.
and so coinbase gets flagged as having issues due to chargeback scammers. not bitcoin itself.
Topic: my Community bank fraud department called regarding coinbase (Read 1468 times)
September 16, 2016, 12:48:21 PM
I would tell them it's none of their business and that inquiries like this are a reason to use bitcoin. There are many banks to choose from and if they want to continue having me as a customer then they should mind their own business or I'll go elsewhere. Banks only understand one thing, money, your money.
legendary
Activity: 1302
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Core dev leaves me neg feedback #abuse #political
September 16, 2016, 12:46:01 PM
I buy thousands of dollars worth of bitcoins weekly. Bank never questioned it.
September 16, 2016, 12:38:25 PM
I bank at a small community bank in the states and they have some real nice personal bankers that are helpful. Recently the fraud department called asking what I do and why I have so many transactions with coinbase. F U its my money, I can buy whatever I want with it. This is annoying because my small bank has no idea what bitcoin is and explaining it is not easy they are old school. My question is I am not doing anything wrong like gambling, why are they inquiring. I work in a professional company and was surprised when the personal banker asked. She also said they called a few mo ago too . I also have made small buys in a span of 9 mo nothing big like 1 btc per month. Has anyone else been in the same situation?
From my point I think they are only doing their job and also following the law of the land over there so I would suggest you try shifting to another bank or try using personal transactions in other to avoid troubles. It better to avoid than to start defending...
September 14, 2016, 12:19:30 PM
actually ?
no.
Your money is not in the bank.
It's bank that she loan credit to you.
She can cut credit and freeze your money without justice order.
If Bank fail.
Loan fail.
Money is evaporate.
The guy you're calling out is correct. When you deposit money in the bank they don't put it in some drawer in the vault with your name on it. They loan it out...all of it except 10% (or a bit more) that they're required to keep on hand as a reserve. That's how banks make money. So yes, your deposits become loans. And if those loans aren't repaid your bank can't pay you the deposits you've recorded with them.
To the OP - if you want to stay with this bank, you should introduce them to the positive side of bitcoin. Send them the right articles. You could even try to get Coinbase to send you a statement verifying the legitimacy of their business.
What's the worst thing that can happen? They tell you they won't honor payments/transactions to coinbase and you go bank...for your coinbase purchases only...with some online bank.
Still has nothing to do with the discussion,he is being harassed by the bank because he does not fit into the cookie cutter image they have for a customer. The issue was never that the money is not in the bank or not.
September 14, 2016, 04:22:37 AM
I bank at a small community bank in the states and they have some real nice personal bankers that are helpful. Recently the fraud department called asking what I do and why I have so many transactions with coinbase. F U its my money, I can buy whatever I want with it. This is annoying because my small bank has no idea what bitcoin is and explaining it is not easy they are old school. My question is I am not doing anything wrong like gambling, why are they inquiring. I work in a professional company and was surprised when the personal banker asked. She also said they called a few mo ago too . I also have made small buys in a span of 9 mo nothing big like 1 btc per month. Has anyone else been in the same situation?
1: They know wat Bitcoin is
2: The call is a classic example of gangstalking
September 14, 2016, 04:18:08 AM
I bank at a small community bank in the states and they have some real nice personal bankers that are helpful. Recently the fraud department called asking what I do and why I have so many transactions with coinbase. F U its my money, I can buy whatever I want with it. This is annoying because my small bank has no idea what bitcoin is and explaining it is not easy they are old school. My question is I am not doing anything wrong like gambling, why are they inquiring. I work in a professional company and was surprised when the personal banker asked. She also said they called a few mo ago too . I also have made small buys in a span of 9 mo nothing big like 1 btc per month. Has anyone else been in the same situation?
Maybe your banker thinks that buying bitcoins with USD might be illegal.
We are all slaves of the bank industry and bankers think that they can control our lives.
That`s why i want bitcoin to grow and replace fiat money.
September 14, 2016, 03:24:59 AM
A warm welcome to the world of financial surveillance! The banks surveillance algorithm has identified your transaction habits as suspicious. You are not conforming to normal activity. Maybe you are a money launderer or terrorist? Your banker asked, because he/she trusts the algorithm more than you. So better stop your highly suspicious activity or they will stop it for you, starting a full-fledged investigation.
It's not advisable to try to explain Bitcoin to them, because things they don't understand are suspect as well. They may even research the topic and find some mainstream media articles connecting Bitcoin to money laundering and financing of terrorism. And in the unlikely case they understand Bitcoin, they will certainly not approve it.
That's how life has become in the centrally controlled fiat world... If you ask me, better buy your Bitcoin with physical cash in a person-2-person trade.
ya.ya.yo!
It's not advisable to try to explain Bitcoin to them, because things they don't understand are suspect as well. They may even research the topic and find some mainstream media articles connecting Bitcoin to money laundering and financing of terrorism. And in the unlikely case they understand Bitcoin, they will certainly not approve it.
That's how life has become in the centrally controlled fiat world... If you ask me, better buy your Bitcoin with physical cash in a person-2-person trade.
ya.ya.yo!
Couldn't have said it better!
This surveillance and dictation of how, when and probably where you can use and have to spend your hard earned money ist just ridiculous.
They will close/freeze your bank account and then you have to deliver waterproof facts that you haven't done anything criminal, although they are doing criminal things to their customers on a daily basis.
That's why I would prefer to buy bitcoins via local real life trade as well, even for some premium price.
September 14, 2016, 02:48:11 AM
true on the banks overreaching, and if they close my account ill take my money business else ware. Hopefully it doesn't come to that I will look into localbitcoins. Thanks for the feedback guys 
. Dunno if anyone else is a tax expert or if anyone has reported the coins to IRS here but if don't sell my coins and purchase some physical bitcoins (casascius) do I report that to the IRS. I know if sell coins and make profit I would pay capitol gains tax. Right now I am just hodling the coins for my kids.
. Dunno if anyone else is a tax expert or if anyone has reported the coins to IRS here but if don't sell my coins and purchase some physical bitcoins (casascius) do I report that to the IRS. I know if sell coins and make profit I would pay capitol gains tax. Right now I am just hodling the coins for my kids. first of all you should consult an expert about these matter because it I one of the most important things that can come back and bite you in the ass in long term if you don't take it seriously and you can end up like BurtW
for now I suggest you look at Legal board and maybe start a topic there.
and as for localbitcoins, unless you are paying with cash I don't think using them makes any difference because you can be sending money to a person who is selling bitcoin and your bank can again make the connection if his account is flagged although the chances are smaller.
September 14, 2016, 01:25:00 AM
Banks flag certain actions that are out of the ordinary. If your transaction history change or if you receive an amount of money above the threshold or parameter set for your account, it will be red flagged. They will then phone you, to verify that the transaction is legitimate or within the rules of the banking system.
I also get these phone calls, and it also piss me off, but they just doing their jobs to adhere to the laws of the country. We live in a new world now, where everything is tracked and surveillance is part of our lives. ^hmmmmm^
I also get these phone calls, and it also piss me off, but they just doing their jobs to adhere to the laws of the country. We live in a new world now, where everything is tracked and surveillance is part of our lives. ^hmmmmm^
September 14, 2016, 01:06:48 AM
Conbase caused all this damage? 
Glad I am not using them or I would withdraw all my coins from their greedy clutches right now!
The problem isnt coinbase, the problem is the bank is see a lot transactions going out, and maybe a part returning, and they dont know bitcoin or coinbase or any other exchange, instead they search they ask the person to go to bank, its insane to make such thing century 21, all people or almost all has computer, do the research about coinbase and bitcoin or crypto currencies. I had used my bank to something like 8 transactions with bitcoin, they didnt asked any question, but wera a small ammounts going in and out.Glad I am not using them or I would withdraw all my coins from their greedy clutches right now!
If they don't understand what something is they automatically flag it as fraudulent activity.
it is all about bitcoin.
there are still many banks that flag your account if you are buying bitcoin in many different countries. they either don't like bitcoin and want to prevent its spread or they don't understand it and want to stay away from bitcoin.
that is why you should always check with your bank and the laws of your country before starting to deposit or withdraw money from exchanges into your bank account.
September 13, 2016, 11:37:09 PM
actually ?
no.
Your money is not in the bank.
It's bank that she loan credit to you.
She can cut credit and freeze your money without justice order.
If Bank fail.
Loan fail.
Money is evaporate.
The guy you're calling out is correct. When you deposit money in the bank they don't put it in some drawer in the vault with your name on it. They loan it out...all of it except 10% (or a bit more) that they're required to keep on hand as a reserve. That's how banks make money. So yes, your deposits become loans. And if those loans aren't repaid your bank can't pay you the deposits you've recorded with them.
To the OP - if you want to stay with this bank, you should introduce them to the positive side of bitcoin. Send them the right articles. You could even try to get Coinbase to send you a statement verifying the legitimacy of their business.
What's the worst thing that can happen? They tell you they won't honor payments/transactions to coinbase and you go bank...for your coinbase purchases only...with some online bank.
September 13, 2016, 09:02:37 PM
true on the banks overreaching, and if they close my account ill take my money business else ware. Hopefully it doesn't come to that I will look into localbitcoins. Thanks for the feedback guys . Dunno if anyone else is a tax expert or if anyone has reported the coins to IRS here but if don't sell my coins and purchase some physical bitcoins (casascius) do I report that to the IRS. I know if sell coins and make profit I would pay capitol gains tax. Right now I am just hodling the coins for my kids.
. Dunno if anyone else is a tax expert or if anyone has reported the coins to IRS here but if don't sell my coins and purchase some physical bitcoins (casascius) do I report that to the IRS. I know if sell coins and make profit I would pay capitol gains tax. Right now I am just hodling the coins for my kids. September 13, 2016, 08:06:31 PM
I can see why they may ask you about it just to make sure someone is not defrauding you. However, I don't see why they would have a problem with it as long as you say that they are legitimate. It sounds like overreaching to me on their part.
September 13, 2016, 07:54:26 PM
Conbase caused all this damage?
Glad I am not using them or I would withdraw all my coins from their greedy clutches right now!
The problem isnt coinbase, the problem is the bank is see a lot transactions going out, and maybe a part returning, and they dont know bitcoin or coinbase or any other exchange, instead they search they ask the person to go to bank, its insane to make such thing century 21, all people or almost all has computer, do the research about coinbase and bitcoin or crypto currencies. I had used my bank to something like 8 transactions with bitcoin, they didnt asked any question, but wera a small ammounts going in and out.Glad I am not using them or I would withdraw all my coins from their greedy clutches right now!
If they don't understand what something is they automatically flag it as fraudulent activity.
September 13, 2016, 07:31:19 PM
I bank at a small community bank in the states and they have some real nice personal bankers that are helpful. Recently the fraud department called asking what I do and why I have so many transactions with coinbase. F U its my money, I can buy whatever I want with it. This is annoying because my small bank has no idea what bitcoin is and explaining it is not easy they are old school. My question is I am not doing anything wrong like gambling, why are they inquiring. I work in a professional company and was surprised when the personal banker asked. She also said they called a few mo ago too . I also have made small buys in a span of 9 mo nothing big like 1 btc per month. Has anyone else been in the same situation?
And welcome to the world of a bank, with the permission of government the bank always feels they can make intervention for the people's life and maybe that is will really disturb. but considering from your explanation maybe i think they're feel curious with the history of your transaction caused by using an exchange will make your account will be a very active users maybe just a day you're making more than 2 transaction into coinbase? September 13, 2016, 06:36:07 PM
Conbase caused all this damage?
Glad I am not using them or I would withdraw all my coins from their greedy clutches right now!
The problem isnt coinbase, the problem is the bank is see a lot transactions going out, and maybe a part returning, and they dont know bitcoin or coinbase or any other exchange, instead they search they ask the person to go to bank, its insane to make such thing century 21, all people or almost all has computer, do the research about coinbase and bitcoin or crypto currencies. I had used my bank to something like 8 transactions with bitcoin, they didnt asked any question, but wera a small ammounts going in and out. Glad I am not using them or I would withdraw all my coins from their greedy clutches right now!
September 13, 2016, 06:06:52 PM
Conbase caused all this damage?
Glad I am not using them or I would withdraw all my coins from their greedy clutches right now!
Glad I am not using them or I would withdraw all my coins from their greedy clutches right now!
September 13, 2016, 05:45:36 PM
Perhaps the banks concern isn't that you are buying bitcoin, but that you could be buying it and reselling it without meeting any local Anti-Money Laundering / Know Your Client requirements with each sale. In some jurisdictions it could be argued that if they suspected this were happening but didn't look into it that they may be an accessory to the crime. Similarly, a Credit Union might not want the risk of being associated with Bitcoin due to the media attention BTC has received in the past regarding links to crime.
Although you are just building your BTC savings, the bank don't know unless they ask. If they cause too many hassles then it might be worth considering 'voting with your feet' and banking elsewhere .
Although you are just building your BTC savings, the bank don't know unless they ask. If they cause too many hassles then it might be worth considering 'voting with your feet' and banking elsewhere .
this is so great. most people think: hey it is my money and i can do what i want. this is just true for as long as banks want it to be.
the sums involved into this do not even have to be enormous to let banks freak out.
i really think that such incidents are one of the very strong arguments for bitcoin and against banks.
the sums involved into this do not even have to be enormous to let banks freak out.
i really think that such incidents are one of the very strong arguments for bitcoin and against banks.
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