Cryptocurrency Buying Is Banned By Lloyds Bank

Lloyds Banking Group has announced about banning credit card owners from buying Bitcoin and altcoins.

A company spokeswoman said in an email:

“Across Lloyds Bank, Bank of Scotland, Halifax and MBNA, we do not accept credit card transactions involving the purchase of cryptocurrencies.”

The Telegraph reported over the weekend, that the UK’s biggest mortgage lender will ban its credit card customers from buying Bitcoin amid fears that they could run up huge losses.

Any attempts of buying Bitcoin with credit cards will be blocked by the company. But according to a newspaper, the digital currencies could be purchased with debit cards. Also it added, that credit card customers of the bank will be blocked from buying Bitcoin online through a blacklist that will flag sellers.

The paper reported, that company is suspicious, that credit card owner could  but Bitcoin with a prospect to sell them in a higher price, but will gain debts if the price falls.

On Friday the price of digital currencies fell down, with Bitcoin trading below $8,000. Since December 2013 it was Bitcoin’s biggest weekly loss with global regulatory clampdown.