Local Banks Close Accounts for Money Wiring Companies

Local banks including Minneapolis-based TCF, U.S bank and Iowa-based Wells Fargo decided to close accounts used by Somali money wiring companies due to stiff regulations by the federal government. The move could unravel the multi-million dollar money wiring business in Minnesota and might put millions of people in Africa and elsewhere whose relatives live in the state in financial crisis.

The money wiring companies, locally known as “Hawalas