If you are a current customer of FBME bank you know that there is a problem. As described on the website with legal implications about the interfearance of FinCEN and the Central Bank of Cyprus, FBME bank, you probably know that there are some heavy challenges for people and companies with a bank account in Nicosia.
During the summer of 2014 the Central Bank of Cyprus decided to follow up on a report made by a department of the US Treasury (FinCEN) which claimed that the Federal Bank of the Middle East (FBME) offered an easy way for illegal activities. Specifically terrorism financing and money laundering was executed through the Nicosia branche of of FBME. At least, that is what FinCEN claimed.
With the banking crisis from 2013 and the “famous” haircut on bank account deposits in mind, the Cypriot government refused to play with fire once again; they simply blocked all transactions, appointed an administrator and slowly decided what else to do.
Currently it is nearly impossible to use the regular banking services provided by the bank. ATM cards don’t work and internet banking is also down. The only way to access your funds is by bank check. But also here a little challenge; bank checks cannot be collected but must be deposited at another bank in Cyprus. It doesn’t end there because the account holder must have a bank account (in exact the same name as with FBME) and the bank check can only be deposited there. Oh and before we forget, the maximum limit per day per bank check is € 1.000.
So, there are options to get money back. However, it is not the most easy task to do.