When people get scammed and money is transferred out of their bank, why isn’t there a paper trail? If the money is transferred into some foreign country that won’t allow tracing, why not just exclude those countries from the banking system?

Question

When people get scammed and money is transferred out of their bank, why isn’t there a paper trail? If the money is transferred into some foreign country that won’t allow tracing, why not just exclude those countries from the banking system?

In: 7825

Answer 1

Paper trails exist. The laws and the rules change and may not be in your favor.

Let’s say someone steals 10k from your bank account in the US and wires it to the UK. That thief then pays a legitimate bill from the account in the UK to a vendor in New Zealand.

We know where your money is. But does that mean you have the right to take the money back from the NZ company who legitimately got paid for something they did?

Or another example where things vanish.

You get 10k stole and moved to another account in the US. That account was also hacked because some old person made a password of “123money”. That account then wired the money to a UK account. That account was also stolen. Now the money is wired to Cuba.

While the US and Cuba have no relations (and won’t work together) the UK does not have that level of gripe. So what do you do. Who cuts who off? Etc.