Blocked vs Seized Assets

The distinction between blocked and seized - and what it means when your payment hits a block.

TL;DR

TL;DR: Blocked = frozen (you hold it, you don't transact it, OFAC decides). Seized = confiscated via forfeiture (the consequence after a violation). A blocked payment is held, not lost.

Blocked

When screening blocks a payment to a blocked party, the funds are held pending review. Holding them is the compliant act - unfreezing without authorization is the violation.

Seized

Forfeiture is the government confiscating assets, typically after enforcement or criminal proceedings. Seizure is the consequence; blocking is the state.

The agent angle

An agent whose payment gets blocked should hold, log, and alert - never unfreeze on its own. The block is the firewall working.