...As part of a global effort to lower remittance costs, the US government recently began working with the Mexican government, numerous banks, and nonprofit groups to launch two initiatives.The Bush administration is deeply involved in supporting the moves outlined above. Whether they're leading the banks or the banks are leading them isn't known. In either case they're completely corrupt.
One, the New Alliance Task Force (NATF), focuses on providing immigrants' accounts with low-cost remittance services while promoting financial literacy. The other initiative allows US bank customers to send money to a Mexican bank account at low cost through the Federal Reserve's Automated Clearing House's international wire-transfer service, Directo a Mexico. Most banks offering this service charge the sender between $2.50 and $3 per transaction, according to the GAO. The recipient Mexican bank receives a share of 67 cents, and is not permitted to charge the recipient any other fees.
Both programs are geared toward Latin Americans, who send an estimated $30 billion abroad each year. Most of the institutions participating in NATF are community banks in Illinois, Indiana, and Wisconsin; however, the program was recently launched in Austin, Texas, and Los Angeles. Since October, as many as 50 banks across 20 states have enrolled in the Directo a Mexico program, with more expected to join in the coming months.
These fee-reducing initiatives, along with the fact that US banks have been able to accept the Mexican consular identity card as a valid form of identification to open an account since 2002, have made sending remittances easier and more affordable for immigrants. Bank executives now hope that Latino immigrants will take advantage not only of their remittance services but also other financial offerings as well...
Fri, 01/27/2006 - 03:56 · Importance: 4