Following backlash from freelancers around the globe, Payoneer has decided not to wait for the United Kingdom’s Financial Conduct Authority’s (FCA) decision on the scandal.
The payment gateway has said that it has allowed the freelancers to access their money, meaning that they can now withdraw the funds effective from today. What it means is that you can now, or shortly, use your prepaid Payoneer Mastercard, as usual, considering Wirecard has been allowed to resume regulated activity by the FCA.
Payoneer CEO, Scott Galit, has said that they are looking to grant access to the frozen funds regardless of the outcome of FCA’s decision on the $2 billion scam.
Today, we are going to put your minds at ease. Your funds are safe and we are working to ensure you regain full access to all of the funds on your Payoneer card. While the FCA has given off encouraging signs of progress, we have decided not to wait for the outcome. Even if there’s a shortfall, our intent is for Payoneer to fill the gap so that you get 100% of your money back.
German fintech, Wirecard AG, filed for insolvency on Thursday after an accounting fraud worth billions of dollars was unearthed. It’s UK subsidiary, Wirecard Solutions Limited (WCSL), which issues Payoneer Mastercard, was subsequently directed by the FCA to freeze all prepaid card activity for the time being. Later on Monday, the FCA provided written consent to WCSL to resume payment services and issue e-money to the users.
On 29 June 2020, the FCA provided written consent to allow Wirecard to resume issuing e-money and providing payment services. The restriction on activities will lift at 00.01 on 30 June 2020. The primary objective of these requirements was to protect the electronic money funds of consumers in safeguarded accounts. It also had the effect of preventing consumers from withdrawing and making payments with those funds. The FCA’s consent means that Wirecard can now resume electronic money and payment services to its customers and customers can now, or very shortly, use their cards as usual.
What are your thoughts on the update? Let us know if you can access your funds and withdraw money using your Payoneer Mastercard.