Tag Archives: western union

Two Options for Online Money Transfers

You no longer have to go to a money transfer office to schedule money transfers.  You can send money to friends and family from the comfort of your home with online money transfer services.

Many of the traditional money transfer services now offer the option of making a transfer over the phone or online at their website.  Other companies have been started in recent years that exist solely as online services.  Here are two of them to consider.

Western Union

Western union safe cash transfer
Western Union

Western Union has been doing regular electronic money transfers for years and has now expanded into online service via the internet.  You have several options when using their online service for payment.  If you need the money to arrive quickly, you can pay with a debit or credit card.  If it is not an emergency, you can use your bank account to transfer money.

You create an online profile with Western Union that you can go back to anytime you need to send money.  Then you choose your options based on what you need.  The receiver can get their money several ways:

  • In their bank account
  • At a Western Union agent near their location
  • Delivered to their home or office
  • In their mobile wallet

If you don’t feel comfortable sharing your bank information with Western Union, they also provide WU Pay.  With this option, you can set up a payment in your Western Union account and they will send a bill.  Then you go to your bank account’s online bill pay and pay the bill like you would any other.

With all of these options, you receive email confirmation to know that the money has been sent.


Xoom is a newer money transfer company founded in 2001 and located in San Francisco.  They handle all transfers online and send money to the following countries:

  • The Philippines
  • Europe
  • Latin America
  • India
  • Canada
  • Australia
  • South Africa

You must sign up on their website before you can send money.  Once you create a profile, you will enter the recipient’s information, including their name and country, how much you want to send, and how you want them to receive the money.  You have three options on this: bank deposit, pick up in person, or delivery to their home.  The latter two options may not be available in all countries.

You will also need to know the recipient’s address and bank information (if depositing into their account) and contact phone number.  You will then enter your payment information where you have the option of paying from your bank account or with a credit card.  You will have a final chance to review the transaction before submitting.

It’s much easier to send money today with online money transfer services.  You have multiple options, which allow you to select the most affordable choice with the best features.  These are two of the best known companies, one that has expanded their services and one that only provides online services.

Safe Cash Transfers

Western union safe cash transferBankrate.com published an article by Diana McLaren in which she discussed safe ways to transfer cash or send money. She talked about Western Union at length, but also explored other safe cash transfer options, including Canada Post and Paypal.

Here’s the story:

Safe ways to send cash

There are lots of reasons to send cash these days: online and mail-order shopping, bill payments or bail-out loans to kids at college. And along with the ever-increasing reasons to send money, there is a growing number of ways to do so.

Western Union safe money transfer

One of the oldest ways to send money — 100 years old, in fact — is Western Union. Today, the company offers a variety ways to send cash: in person at a Western Union agent’s location, by telephone and over the Internet. Figuring out the finer points of each can be a bit confusing, especially since stated Western Union policies sometimes seem to conflict with information given by individual agents. These agents, located worldwide, operate as both sending and receiving depots and are found in such places as variety stores, supermarkets and money service operations.

Western Union lets you send funds using cash, debit or Visa, but this depends on what the individual agent offers. At some, it’s strictly cash-only, while at other locations debit and credit cards are accepted, though one Toronto agent quoted an additional nine per cent fee to send via Visa. On the other end, the recipient will get cash, a Western Union cheque or some combination of the two. Just how much of each depends, since it’s not cast in stone. Again, it’s pretty much up to the discretion of the agent on the receiving end.

Both senders and receivers fill out forms, and identification can be required of both. Just what type of ID is acceptable is the agent’s call, although most require government-issued photo ID. One Toronto agent erroneously stated that provincial health cards are “no longer accepted, it’s the law,” but Western Union’s stated policy says recipients can “answer a test question” in lieu of having proper photo ID.

The cost of sending money

The cost to send cash with Western Union varies with the method used for cash transfer. Using $150 sent within Canada for comparison purposes, the cost would be $18 if sent through an agent and $35 if using the online or telephone systems. The quote for telephone service “may vary according to sender location and is subject to change without notice,” according to Western Union’s info line.

Money sent in foreign currencies will carry an exchange rate set by Western Union. Again using our $150 example on a specific date, the rate for U.S. currency quoted by the Bank of Canada was 0.8951 while Western Union charged 0.86. The difference is “how we make our profit,” according to one Western Union customer service representative.

At Western Union’s currency rate on that date, it would take $174.60 to send $150 to the U.S., plus a $27 transfer fee ($8 cheaper than sending within Canada), for a grand total of $201.60.

There are no limits to how much money can be sent using the agent method (although increased security measures apply on higher amounts). Online transfer limits are $500 within Canada and the U.S. and $999.99 internationally.

On the recipient’s end, the money is available within minutes. However, accessibility for pickup will depend on the receiving agent’s hours of operation. You should call and check this out with the agent in question since actual hours don’t always match those stated on Western Union agent listings.

Not the only game in town – Canada Post

Canada post
Postal money orders from Canada Post cost $3.95 within Canada and $4.95 to the U.S.

Western Union isn’t the only money transfer system that’s been around for a good long time. Canada Post still does a pretty good job of delivering the mail, and cheques or money orders sent that way are an economical way to go. Postal money orders cost $3.95 within Canada and $4.95 to the U.S. If you are going to register your letter, this will add to the cost, but it will offer peace of mind. And while sending cash isn’t illegal, it isn’t advisable, since there’s no paper trail should things fall into the wrong hands.

Banks also offer money orders (for between $6 and $7) and wire transfers. Better yet, if the recipient banks at the same institution as the sender, there are Interac e-mail money transfers. These cost only the network fee of $1.50 to send. There’s a security Q&A to ensure the person on the receiving is the one intended, and stop payments can be made for $3.50.

To send, the sender and recipient both need an e-mail address and a personal Canadian dollar bank account. The participating financial institutions are Bank of Montreal, Scotiabank, TD Canada Trust, Royal Bank and CIBC except for President’s Choice Financial.

For sending to someone outside of Canada, banks offer wire services for about $30. The cost depends on the amount sent and where it’s going. Wires can be used within Canada but are a somewhat costly choice so they aren’t the method of choice.

“Interac is associated with the established banking system, so there’s a level of trust built into it,” says Peter Hope-Tindall, a security expert in Toronto. “Personally, I’d be very worried to use one of the money transfer services offered on the Internet that isn’t connected to Interac.”

Paypal for cash transfers

Hope-Tindall says the one service he has used with success to transfer money to vendors is PayPal, although he hasn’t used it to transfer cash to a person. PayPal now offers free online money transfers to individuals. Both parties need a PayPal account and the money can be sent from a bank account, credit card or PayPal balance.

While PayPal is a widely used service for online purchasing, and is now owned by eBay, there have been problems in the past concerning withholding of funds or freezing of accounts.

A further option to send funds, especially appropriate for frequent transfers to the same person, is to set them up as one of the prelisted payees in your telephone or online banking portfolio. In fact, that’s how Hope-Tindall transfers his five children’s monthly allowances to them.

Diana McLaren is a writer in Toronto.
— Posted: Sept. 27, 2006

Western Union No-Fee Transfers to Chile in March!

Destruction from the Chile earthquake
Devastation in the Chilean port city of Talcahuanao by the tsunami and earthquake. Western Union will be offering no-fee money transfers to Chile in March. (Photograph: Martin Bernetti/AFP/Getty Images).

Business Wire reports that in order to help the victims of Chile’s devastating earthquake, Western Union will be waiving money transfer fees for transfers from the USA to Chile, tarting Saturday, March 6, 2010, and concluding Friday, March 19, 2010.

I think that is a great idea and a wonderful way to give something back to the community and show support for the victims of the disaster.

The “No Transfer Fee” program also is available through westernunion.com from the U.S.

For more information about operating Agent locations in Chile, consumers may visit www.westernunion.com or call in the United States 1-800-325-6000 (English and Spanish).

“The hearts of all Western Union employees go out to those affected by Chile’s earthquake,” said Stewart A. Stockdale, President of The Americas and Executive Vice President Global Cards and Global Key Accounts, Western Union. “The earthquake damages have generated massive infrastructural challenges for businesses operating in the impacted region, and we continue to work with our Agents toward restoring service and supporting our consumers in Chile.”

To help the victims of Chile’s devastating earthquake, The Western Union Foundation, as part of The Western Union Company’s corporate signature program, Our World, Our Family(R), announced earlier this week a $50,000 donation to World Vision towards earthquake relief efforts.

Western Union, through its global foundation, also has activated its Agent Gift Matching Program in support of Chile, matching one-for-one Agent donations from around the world made to the Western Union Foundation, up to a combined match of $100,000. Western Union is encouraging employee donations to be made directly to the Western Union Foundation in support of Chile relief efforts. All employee donations will be matched two-to-one in the U.S. and three-to-one outside the U.S.