The embargo at work:

[El Presidente]

The sooner the world has an independent funds transfer system the better. 

 

https://www.cbc.ca/news/canada/toronto/square-canada-1.5303143

Toronto

Square Canada doesn't have a tech issue: it's a Cuban coffee issue

Toronto coffee stand's collection problem stems from U.S. bank's Cuba embargo fears

 

John Lancaster · CBC News · Posted: Sep 30, 2019 3:41 PM ET | Last Updated: October 1

 

Monica Mustelier owns Toronto's Little Havana mobile coffee shop. She says payments made through Square were not reaching her bank account. (Andy Hincenbergs/CBC)

The owners of a Toronto coffee stand say Square Canada has told them they can no longer use the popular payment technology because of concerns the coffee stand is selling beverages made from Cuban coffee beans.

Square Canada allows customers to tap or swipe their financial cards to pay for things — in this case coffee from Toronto's Little Havana coffee stand.

 

Little Havana's co owner, Monica Mustelier, said she'd been in contact with the technology company regularly since late August, after $14,000 in customer payments collected using Square never made it into her TD Canada Trust bank account.

In an earlier CBC News report, she said the company led her to believe the missing money was being held due to problems with an "acquiring processor." A Square Canada spokesperson had told CBC News, the situation wasn't "one-off" — but wasn't widespread, either.

It turns out, that's not the case, Mustelier says.

According to Mustelier, Square Canada told her the tech company uses the U.S. bank JPMorgan Chase & Co. to process payments, and the bank cannot or will not release the funds due to potential concerns over Little Havana's Cuban coffee beans.

"I was kind of shocked and mad, because we're a Canadian company using Cuban goods bought and sold in Canada," Mustelier told CBC News Monday.

Mustelier legally imports the coffee beans through a Montreal distributor.

 

It's currently 'cash only' at the Little Havana mobile coffee stand. (Andy Hincenbergs/CBC)

Today, Valerie Jackson, Square Canada's communications manager, confirmed to CBC News the issue isn't a tech problem after all.

"I want to clarify that Square is not experiencing a technical glitch. While I cannot speak with you about Monica's individual case, I can tell you that Square's Customer Success team spoke with Monica yesterday, and she now knows the reason," she wrote in an email to CBC News.

• Toronto business owner loses $14K to technical glitch at mobile payment company

The U.S. has a financial and commercial embargo against Cuba, severely limiting dealings with Cuban interests. Mustelier is Canadian and says she has no idea why a U.S. embargo is affecting her Canadian business.

"For the U.S. sanctions against Cuba to affect us so directly is a shock, because I know Canada and Cuba have good relations," she says.

Money missing since August

Mustelier had been using Square technology for the past three years without incident.

Then, in late August, thousands of dollars Square Canada was supposed to transfer into her bank account never made it.

Ever since, Square Canada had been working with Mustelier to find out what went wrong.

"I don't know why they would be using a third party in the States to process Canadian funds," Mustelier says about Square Canada's use of the U.S. bank.

"If I knew Square's policy, I probably wouldn't have used them in the first place," she adds.

She says Square Canada has told her, the company is still working on refunding her the $14,000.

In the meantime, Mustelier is now looking for a payment system that uses Canadian banks only, to process transactions.

CBC News has contacted Square Canada for further comment on its plans.

ABOUT THE AUTHOR

[JY0]

That is theft, pure and simple.

[El Presidente]

3 minutes ago, JY0 said:

That is theft, pure and simple.

This happens every day to small and large businesses (and individuals) all over the world. 

Using a non US bank/institution, they may be transferring funds (say UK to France)  or simply using CC facilities (like the business in this story) for cuban coffee/rum/cigars all the while thinking nothing is wrong.  Then one day, their funds are gone and facility removed because Cuban product is involved and the US banking intermediary that processes the back end has seized the funds of unwitting foreign nationals due to the embargo. 

It is complete horseshit. 

[slowsmoke]

Embargo silliness aside, merchant services (credit card processors) in general are worse than the mafia.  They will hold your money, or literally suck it right out of your account, at the drop of the hat, because something in the wind didn't smell right.  Then they'll sit on it for as long as they damn well please.  And you have little to no recourse, other than huff and puff and sit and wait.  Then if you're lucky they give you back your interest free loan.

No, I'm not angry  ?

[Ritch]

2 hours ago, slowsmoke said:

Embargo silliness aside, merchant services (credit card processors) in general are worse than the mafia.  They will hold your money, or literally suck it right out of your account, at the drop of the hat, because something in the wind didn't smell right.  Then they'll sit on it for as long as they damn well please.  And you have little to no recourse, other than huff and puff and sit and wait.  Then if you're lucky they give you back your interest free loan.

No, I'm not angry  ?

You forgot to mention that they charge you a percentage to do all this. Plus a fee for any chargebacks. Plus a service fee. Plus a payment card industry data security standard fee. Plus a per transaction fee. Plus a terminal rental fee. And then some will hang onto the money for 30 days.

Plus you have to change the bloody paper rolls.

[Islandboy]

This is disturbing on so many levels. 

[Fugu]

8 hours ago, JY0 said:

That is theft, pure and simple.

 

7 hours ago, El Presidente said:

This happens every day to small and large businesses (and individuals) all over the world. 

Using a non US bank/institution, they may be transferring funds (say UK to France)  or simply using CC facilities (like the business in this story) for cuban coffee/rum/cigars all the while thinking nothing is wrong.  Then one day, their funds are gone and facility removed because Cuban product is involved and the US banking intermediary that processes the back end has seized the funds of unwitting foreign nationals due to the embargo. 

It is complete horseshit. 

Still to be called theft. It is neither in her responsibility nor under her (i.e. the client's) control which intermediary is being used. That is an issue between Square Canada and JPMorgan Chase. Call me naive, but they have to refund her, plain and simple.

[SCgarman]

Plenty of businesses are still "cash only". This is the simple answer to the issue which has already been implemented. 'Nuff said.

[Ritch]

6 hours ago, NYgarman said:

Plenty of businesses are still "cash only". This is the simple answer to the issue which has already been implemented. 'Nuff said.

Bank charges me 6 percent to deposit cash. Card works out cheaper. 

[helix]

Canadians can go to the liquor store and purchase Cristal or Havana Club or Cuban coffee at the grocery store with any credit card. Makes no sense.

[Ritch]

The sense is some US bank has come up with legitimate grounds (in their eyes) to reason why they can keep some money. Or at the least keep hold of it for a period of time whilst it is argued about.

[El Presidente]

10 hours ago, NYgarman said:

Plenty of businesses are still "cash only". This is the simple answer to the issue which has already been implemented. 'Nuff said.

So you are forced to miss out on the 30% of people who no longer carry cash. Genius. 

The "cash only" solution wasn't "implemented" ....there were no other options bar closing. 

[Iznogood]

This is why we need cryptocurrency. It's decentralised and no government have a say in it.

[SCgarman]

4 hours ago, Ritch said:

Bank charges me 6 percent to deposit cash. Card works out cheaper. 

You need a new bank! 

[argrovesjd]

On 10/7/2019 at 8:02 PM, El Presidente said:

This happens every day to small and large businesses (and individuals) all over the world. 

Using a non US bank/institution, they may be transferring funds (say UK to France)  or simply using CC facilities (like the business in this story) for cuban coffee/rum/cigars all the while thinking nothing is wrong.  Then one day, their funds are gone and facility removed because Cuban product is involved and the US banking intermediary that processes the back end has seized the funds of unwitting foreign nationals due to the embargo. 

It is complete horseshit. 

UTTER and complete horseshit.

[Ritch]

5 hours ago, NYgarman said:

You need a new bank! 

That is the standard fee for commericla banking in the UK.

If 1 percent of my turnover per year is cash I would be surprised. Which is great as it cuts down on lads pocketing money. Is cheaper to get into the  bank and I get paid before I leave the depot. No mere bartering and being knocked down site.