MoneyGram (MGI), a leading global money transfer company, today announced a new global agreement with PayPal that will enable consumers to easily access money in their digital wallets in the physical world.
PayPal's 117 million active account holders will now have the option to put cash in and take funds out of their PayPal accounts at MoneyGram locations.
This agreement brings together the world's leading e-commerce payment company with the world's second-largest global money transfer company to give consumers a fast, convenient and secure way to easily get funds out of their PayPal account and put cash in via MoneyGram locations. MoneyGram's network currently includes more than 284,000 locations in 196 countries.
The new service options created through this agreement represent the first global solution for consumers who do not have or use a bank account or credit card to fund and maintain a PayPal account, giving them access to e-commerce. In addition, for the first time, PayPal customers will have a global solution for putting cash into a PayPal account, and a global option to fund, withdraw, and send cash from a PayPal account. These services initially will be piloted in the United States in early 2013, followed by a phased roll-out in the United States and beyond.
"This agreement is a significant milestone for MoneyGram. It represents a new level of innovation and enhances our growth into new areas of the payments industry," said Pamela H. Patsley, MoneyGram chairman and CEO. "We believe this agreement furthers our goal of making it easy for people to send and receive money in the ways they want, wherever they are in the world, and significantly increases the possibility of e-commerce to MoneyGram consumers."
"With their global reach and world-class money transmitting capabilities, MoneyGram is the perfect company for us to innovate with," said Mark Lavelle, Senior Vice President of Strategy and Business Development at PayPal. "Through this new initiative, more consumers will be able to take advantage of PayPal's digital wallet, and shop at places like eBay or many of the millions of merchants that accept PayPal."