Wirecard is a Fintech that issues many of the crypto-currency debit cards on the market, and has apparently declared economic insolvency. This also affected Payoneer, which is warning its customers about the freeze on prepaid card activity.
In a statement issued by Payonner, they indicated the following to customers who have prepaid cards
„As you may have seen on the news, Wirecard AG filed for bankruptcy on Thursday. Its Payoneer Prepaid Mastercard® is issued by its subsidiary, Wirecard Card Solutions Limited (WCSL) in the United Kingdom. Today, the Financial Conduct Authority (FCA), which regulates the WCSL, issued requirements on WCSL, freezing all prepaid card activity for the time being. We believe that cardholders‘ funds are adequately protected and that the freeze will be temporary.
Crypto-currency cards are affected by the UK regulator suspending Wirecard’s subsidiary
Furthermore, they clarified that the Crypto Cash, for its part, has communicated that they have taken these measures with the main objective of protecting the interests and money of Wirecard’s clients.
From Payoneer they also clarified that, pending further action by the FCA, their clients will temporarily not be able to withdraw funds from the card, nor receive new payments on the card.
„Any funds that exceed the maximum balance on their card will be held by Payoneer and therefore will not be affected by FCA’s temporary freeze,“ they added.
Wirecard filed for financial insolvency with the Munich Court
Alternative to Collecting
Payoneer also reported that any future payments received from markets, platforms and customers will not be affected by the freeze. And that customers can log in to view their funds, and can also add their bank account to withdraw their future incoming payments.
„We are actively working on offering additional options for you and your patience and understanding is greatly appreciated. We apologize for any inconvenience this may cause and will update you with more information as soon as we have it,“ they concluded.