The Visa international payment system will stop processing domestic and international transactions with Promsvyazbank cards, a company representative told Forbes.
“Domestic and international transactions on Visa cards of this bank or in trade and service enterprises served by this bank will not be processed by the Visa payment system,” the message says.
The company explained that such a decision was made in the framework of the implementation of US law. On February 22, Promsvyazbank was included in the sanctions list by the Office of Foreign Assets Control of the US Department of the Treasury (OFAC).
Later, the bank explained to Vedomosti that the bank’s customers will not be able to use cards of international payment systems only abroad, inside Russia all Promsvyazbank Visa and Mastercard cards continue to work as usual.
“All cards of Visa and Mastercard payment systems issued by the PS work and will continue to work on the territory of Russia. Since all transactions with Visa and Mastercard cards in Russia are processed by NSPK, customers, as before, have access to all card transactions – both cash withdrawals from ATMs and cashless payments, ”the bank said.
The sanctions were imposed after Russia recognized the independence of the Donetsk and Luhansk People’s Republics (DPR and LPR) and the military operation in Donbass. In particular, the US imposed blocking sanctions on VTB, Sovcombank, Novikombank, FC Otkritie and Promsvyazbank. Sanctions were also imposed on correspondent accounts of Sberbank.
Against the backdrop of the situation on the financial market, the Bank of Russia recommended that credit institutions postpone the payment of dividends and bonuses to management.