Some pensioners in Ukraine risk losing access to their bank cards. This may occur for various reasons, including security measures and financial monitoring.
This is reported by Finway
The Ministry of Finance of Ukraine states that banks have the right to block cards to protect their clients from fraud. For example, PrivatBank has implemented such a practice: if the system detects suspicious transactions, the card may be temporarily blocked to prevent unauthorized withdrawals. In some cases, this may also affect other cards of the client at the same bank, even if there are no funds on them.
Reasons for Card Blocking
Another reason for blocking is financial monitoring. If a bank suspects illegal origin of funds or possible financing of terrorist activities, the account may be blocked until all circumstances are clarified. The grounds for blocking include:
- an excessive number of transfers from abroad or to foreign destinations;
- connections with Russia or Belarus;
- registration at a mass or fictitious address;
- transfers from cryptocurrency exchanges exceeding 30,000 hryvnias;
- frequent cash withdrawals immediately after funds are credited;
- exceeding established limits.
Verification of Pension Recipients
One important reason for card blocking is the failure to submit a statement confirming the place of residence. The Pension Fund of Ukraine conducts verification of pension recipients, especially among internally displaced persons (IDPs) and pensioners who have been abroad for an extended period or have suspicious data regarding their registration address.
If the Pension Fund has doubts, an official notice may be sent to the pensioner requiring them to submit a statement confirming their actual place of residence. This statement must be submitted within 10 calendar days from the receipt of the notice. Otherwise, the Pension Fund may suspend pension payments, and the bank may restrict access to the card account receiving the payments.
The statement can be submitted in person at the Pension Fund office or through the electronic cabinet on the PFC portal. It is advisable to respond promptly to such notices to avoid the suspension of payments and blocking of cards.