Lt. Governor Francis, Division of Banking and Insurance to Ensure Consumer Financial Safety
For Immediate Release No. 008-08
February 27, 2008
For More Information Contact:
Shawna K. Richards, Director of Communications
Ph: (340) 773-6459 ext. 3129
Fax: (340) 719-3801
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Lt. Governor Francis, Division of Banking and Insurance
to Ensure Consumer Financial Safety by Registering Non-Bank ATMs
Lieutenant Governor Gregory R. Francis announced today an aggressive initiative of the Division of Banking and Insurance to create a safer banking environment for Virgin Islands’ consumers by registering nonbank Automatic Teller Machines (ATMs). A nonbank ATM is any cash dispensing machine that is not operated by a bank or credit union.
According to John McDonald, Director of Banking and Insurance, the Division launched the effort after learning of consumer concerns about what seemed to be a sudden increase of the machines throughout the territory. McDonald says the Division, which is charged with protecting the public’s interests through regulation and enforcement of the banking and financial services industry, took these concerns seriously. “The community should feel confident that their most sensitive financial transactions are done on equipment that is in full compliance with Virgin Islands laws,” he states.
Since early February, employees of the Division of Banking and Insurance have been tagging non-bank ATMs that are registered with the Lieutenant Governor’s office with a white sticker. To date, 30 machines in the St. Thomas/St. John district have been identified and tagged, with plans underway to do the same on St. Croix within the next week. Virgin Islands law requires the annual licensure of nonbank ATMs. Banking and Insurance Director McDonald also anticipates that this system will better enable the Division to track unlicensed machines.
Banking and Insurance has the authority to close unlicensed machines and assess penalties against the operator. In the past year, approximately ten nonbank ATMs have been closed for non-compliance. Machines are also being checked for compliance with regulations which require the nonbank ATM operator to clearly post their name, contact information and fee per transaction.
Lt. Governor Francis says the initiative to identify and register the nonbank cash machines reflects his office’s continuing efforts to be more responsive to customer needs and concerns.
For more information or to report an unlicensed nonbank ATM, contact the Division of Banking and Insurance at (340)773-6449 on St. Croix or 774-7166 in the St. Thomas/St. John District. Nonbank ATM operators and persons interested in operating a nonbank cash machine are also encouraged to contact the Division of Banking and Insurance should they have any questions or concerns.
