Visa and Mastercard Ban Russian Banks, Pledge $2M Each in Aid

Visa and Mastercard separately announced that they are both blocking numerous Russian financial institutions from their global card payment networks, in support of and compliance with sanctions imposed by the West following Russian President Vladimir Putin’s attack on Ukraine.

Both payment networks also separately pledged a donation of $2 million apiece for humanitarian aid.

Mastercard said its $2 million would be distributed among the Red Cross, Save the Children and the company’s employee assistance fund for humanitarian relief. 

“We will actively pursue additional opportunities to assist aid organizations to play our part in supporting the global relief effort,” Mastercard CEO Michael Miebach said in a statement. 

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Visa said its contribution of $2 million would benefit the U.S. Fund for UNICEF to support the humanitarian efforts in Ukraine. The company said it was also going to double match all employee donations (up to $1 million) to the Ukraine response funds of UNICEF and the Red Cross. 

“Beyond these efforts, Visa is taking prompt action to ensure compliance with applicable sanctions and is prepared to comply with additional sanctions that may be implemented,” Visa said in a statement. 

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Mastercard further said that its Cyber & Intelligence and Corporate Security teams “are working with governments and partners around the world to ensure the stability, integrity and resiliency of our systems.” 

The U.S. sanctions required Visa to ban Russian financial institutions dubbed Specially Designated Nationals from accessing its networks, Reuters reported, citing a source with insider information. The list included the country’s central bank and the second-biggest lender VTB.

Sanctions were imposed on Russian banks on Saturday (Feb. 26) by the U.S., Britain, Europe and Canada, including banning certain lenders from using the SWIFT international payment system. Switzerland broke neutrality and supported the West by freezing Russian assets.