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

>why not just exclude those countries from the banking system?

Because the economic value of including the banks in those countries is always much larger than the economic value of the particular transfers you’re referring to. If the scams are actually a sizable proportion of all transactions with that country (or with any particular single bank in any country, including our own) and it is legally certainty the transactions are “scams” rather than legitimate transfers that are considered mistakes by the transferees in retrospect and regretted, then those destinations are excluded from participation in the transfer system.