I lost access to my US company's account with Rietumu Banka in July 2017 after my access device was destroyed in a fire.
Lack of access to the banking system prevented me from reading any of the messages sent via the banking system. Some of those messages were critically important. They have a contact phone number and email via which they could have sent important messages to me. I was in contact with my personal banker via email with regards to sending documentation to regain access by activating a new access device, but not once did he mention any other urgent actions required to maintain my account. I made four prior attempts in providing documentation to the bank to activate the device (the people assisting were incredibly unhelpful), finally succeeding on the fifth attempt in November 2018, which is when I logged in for the first time after a year.
My company's account was terminated and the money was moved to a holding account. Over 20 000 € was deducted (5k € a month for holding account penalty fee) and 200 € a month was deducted since 2017 for low account activity.
My US company has been banking with them since 2006 and is an entirely transparent student consulting company fully KYC/AML compliant and we always sent customer passport copies and invoices to the bank on request.
Fortunately we have a US Bank account and also use Transferwise. Our Rietumu account made it easier for our mostly European clients to pay us in GBP and EUR hence our reason for holding an account there.
I requested a refund and they declined. Regardless of all the legalities Rietumu legitimizes this unfair practice with, the bottom line is that its robbery and I think its worth pursuing this matter collectively.
This message to let you know about the fatal consequences of banking with Rietumu bank. I used to bank with them for a couple of years, and even if their banking infrastructure is pretty good, I need you to inform about the following facts :
- They can block suddenly your bank account with NO NOTICE. You may discover a morning your bank account frozen with the following message : « account is frozen for credit / account is frozen for debit »
If you have providers or customers to pay, the consequences may be fatal for your business if your working capital is too low.
I let you imagine by the way the stress that you may have, even if you worked with them for a couple of years,
- This bank can charge 1 000 euros per month for account maintenance, I let you imagine about the stress, all the more if everybody employee would tell you that they are « helpless »
- They can charge you 500 euros for account closure
- they can multiplicate their fees as they want, and do not inform their customers. If you disagree, They will just let you know that they posted a price update somewhere on their website (http://rietumu.lv/) and will send you an automated message
- the Rietumu bank is not a systemic bank such as ABVL which made bankruptcy 3 months ago. Regarding its relatively small size in the economy, it will not be a priority for the EU to save it. Beyond the 100 K euros guaranted, it’s not the best to bank to secure your money, all the more if you have a far higher financial exposition to them,
- Rietumu bank is sued in France ( in a massive money laundering schemes (https://www.baltictimes.com/rietumu_banka_hit_with_heavy_fine_over_laundering_scheme_in_france/)and (https://www.irishtimes.com/business/financial-services/latvian-bank-rietumu-to-appeal-french-court-ruling-and-80m-fine-1.3148550). The bank was working with « France offshore » and was opening bank accounts for companies registered in tax heavens (Belize, british virgin islands, Seychelles) and is accused to have laundered more than 200 M euros with thefull support and approbation of its compliance and legal department.
The Rietumu bank was fined 80 million euros and has appealed. Pay attention on the fact that this fine may be far increased during the appeal. The chairman of the bank Alexandre Pankov has handed a suspended 4 year prison sentence.
I had a very bad personnal experience with this bank and wanted to share this informations with you. Today with the fintech emerging, I really suggest to avoid Rietumu bank and choose far more competitive, « moral » , user and business friendly banks.
Rietumu Banka Reviews
I lost access to my US company's account with Rietumu Banka in July 2017 after my access device was destroyed in a fire.
Lack of access to the banking system prevented me from reading any of the messages sent via the banking system. Some of those messages were critically important. They have a contact phone number and email via which they could have sent important messages to me. I was in contact with my personal banker via email with regards to sending documentation to regain access by activating a new access device, but not once did he mention any other urgent actions required to maintain my account. I made four prior attempts in providing documentation to the bank to activate the device (the people assisting were incredibly unhelpful), finally succeeding on the fifth attempt in November 2018, which is when I logged in for the first time after a year.
My company's account was terminated and the money was moved to a holding account. Over 20 000 € was deducted (5k € a month for holding account penalty fee) and 200 € a month was deducted since 2017 for low account activity.
My US company has been banking with them since 2006 and is an entirely transparent student consulting company fully KYC/AML compliant and we always sent customer passport copies and invoices to the bank on request.
Fortunately we have a US Bank account and also use Transferwise. Our Rietumu account made it easier for our mostly European clients to pay us in GBP and EUR hence our reason for holding an account there.
I requested a refund and they declined. Regardless of all the legalities Rietumu legitimizes this unfair practice with, the bottom line is that its robbery and I think its worth pursuing this matter collectively.
This message to let you know about the fatal consequences of banking with Rietumu bank. I used to bank with them for a couple of years, and even if their banking infrastructure is pretty good, I need you to inform about the following facts :
- They can block suddenly your bank account with NO NOTICE. You may discover a morning your bank account frozen with the following message : « account is frozen for credit / account is frozen for debit »
If you have providers or customers to pay, the consequences may be fatal for your business if your working capital is too low.
I let you imagine by the way the stress that you may have, even if you worked with them for a couple of years,
- This bank can charge 1 000 euros per month for account maintenance, I let you imagine about the stress, all the more if everybody employee would tell you that they are « helpless »
- They can charge you 500 euros for account closure
- they can multiplicate their fees as they want, and do not inform their customers. If you disagree, They will just let you know that they posted a price update somewhere on their website (http://rietumu.lv/) and will send you an automated message
- the Rietumu bank is not a systemic bank such as ABVL which made bankruptcy 3 months ago. Regarding its relatively small size in the economy, it will not be a priority for the EU to save it. Beyond the 100 K euros guaranted, it’s not the best to bank to secure your money, all the more if you have a far higher financial exposition to them,
- Rietumu bank is sued in France ( in a massive money laundering schemes (https://www.baltictimes.com/rietumu_banka_hit_with_heavy_fine_over_laundering_scheme_in_france/)and (https://www.irishtimes.com/business/financial-services/latvian-bank-rietumu-to-appeal-french-court-ruling-and-80m-fine-1.3148550). The bank was working with « France offshore » and was opening bank accounts for companies registered in tax heavens (Belize, british virgin islands, Seychelles) and is accused to have laundered more than 200 M euros with thefull support and approbation of its compliance and legal department.
The Rietumu bank was fined 80 million euros and has appealed. Pay attention on the fact that this fine may be far increased during the appeal. The chairman of the bank Alexandre Pankov has handed a suspended 4 year prison sentence.
I had a very bad personnal experience with this bank and wanted to share this informations with you. Today with the fintech emerging, I really suggest to avoid Rietumu bank and choose far more competitive, « moral » , user and business friendly banks.