The unthinkable may of just happened. Long term industry leaders The Dailypay Service have been the first to break the news on First Choice Pay/Payoneer/Choice Bank going under via the Adultwork.com forums here.
Payoneer recently changed branding to First Choice Pay, they hold a majority share of the pie for processing payments for the Adult Industry currently paying out in excess of $400 million each year for the top tier cam sites to thousands of webcam girls. With FCP going under, there will be a scramble to find out whos going to be the next big processor.
The Adult industry has only just recovered from PacNet going under which affected millions of users, it took many months for the big sites to find and setup new deals to fully complete the switch over.
FCP/Payoneer rep Dan Epstein has these words to say:
“Hi everyone, these are indeed inconvenient times for us, myself included. There are literally tears in my eyes as I’m writing this.
The latest developments were not any process or a discussion that I was aware of, or participating in.
All existing funds on cards can be accessed at ease, there’s no cause to withdraw all remaining funds from the cards at once, however there will be no additional payments loaded. This relates to prepaid cards.
Existing bank transfer services for selected sending websites, are still functional, as far as I know at the moment.
No one will be chasing their funds, and nobody’s funds will be frozen. The service is ceasing in a manner that everyone will be able to find an alternative.”
In contrast The Dailypay Service recommends members to withdraw all their funds, if you were around when Epassport crisis (2010) occurred it would be wise to withdraw your funds asap.
Paxum have also now released a statement on it as it affects their cards also:
“Paxum Inc would like to address any concern our clients may feel after the recent news regarding Choice Bank Limited. On April 9th 2018 Choice Bank Limited informed its customers that it has been forced into a constrained position by the regulatory authorities.
Paxum would like to reassure our customers that this is an issue between Choice Bank and its regulatory authorities directly, and it is completely unrelated to Paxum. Paxum is just a customer of Choice Bank.
As a result of the news from Choice Bank we regret to inform you that Paxum cards can no longer be loaded via transfer to card. However it is important to note that any funds that currently exist on any Paxum card issued by Choice Bank are fully available and can be used as normal at the ATM and for POS purchases.
We are grateful that only a small portion of Paxum users are affected by Choice Banks situation, as it only relates to the Paxum issued card. All other aspects of Paxum services are operating normally, and regular service is uninterrupted. We apologize for this inconvenience caused to Paxum card-holders by Choice Bank, and we are working hard to promptly implement our new card solution.”
More as the story unfolds.