Money-Service Firms Seek To Rebuild Ties With Banks

Robert Schroeder reports for MarketWatch on a hearing held yesterday by the House Committee on Financial Services - Subcommittee on Financial Institutions and Consumer Credit titled "Bank Secrecy Act’s Impact on Money Services Businesses" where concerns were expressed about some banks ending their relationships with money-service businesses because of regulatory concerns. The prepared remarks from several speakers at yesterday's hearing are available from the Subcommittee's web site. The comments of Philip Milne (PDF), president and CEO of MoneyGram International, are particularly interesting to read - ..."Two months ago Bank of America informed MoneyGram that it would be terminating its long-term relationship with MoneyGram. This was not just a simple deposit account, but rather a global banking relationship that generated millions of dollars in fees annually for Bank of America."...