The Central Bank of Egypt has ordered banks to stop using prepaid cards in international transactions, whether for cash withdrawals or online purchases in any foreign currency, according to some bank officials.
Masrawy’s website states: “Some members of the public have circulated on social media in recent hours a post to stop using prepaid cards, whether for online purchases or outside of Egypt, in any foreign currency other than the Egyptian pound, and some banks confirmed it.”
In response to Masravi’s question, two bank executives said the central bank had issued instructions this month to stop international transactions using prepaid cards outside of Egypt or for online purchases using direct debit cards (debits linked to a customer’s account). ) and credit cards. Outside of Egypt and in electronic payment.
And the client pays for any purchases made to him electronically (online), whether inside or outside of Egypt, in any foreign currency that is subject to international transactions due to working in a currency other than the local one.
The currency crisis currently facing Egypt has prompted banks to reduce international transaction limits using bank cards of all kinds (credit cards, direct debit cards and prepaid cards), whether cash withdrawals or e-purchases outside of Egypt in any foreign currency.
Banks have also raised the fee for cash withdrawals outside of Egypt at ATMs to 13% of the total transaction, ranging from 10% as a currency exchange fee to 3% as a fee for using an external machine, in addition to additional fees of up to £50 on every withdrawal.
The head of one of the banks explained that the reason for stopping international transactions on prepaid cards is due to the fact that they are not linked to known bank accounts, which may lead to some manipulation or misuse by some customers in transactions outside of Egypt when paying in foreign currency.
Visa and MasterCard International for Electronic Payments operates all cards outside of Egypt, including prepaid cards bearing any of the logos of the two companies, subject to the limits set for this type of card by Egyptian banks.
As for the Meeza prepaid card issued by the National Payment Network, it is not activated for transactions outside of Egypt and is limited to local transactions only.
Source: Masravi
