PayPal and MoneyGram form US alliance

PayPal and MoneyGram form US alliance

PayPal has struck a deal which enables its 55 million American account holders to withdraw money at MoneyGram locations around the country.

Customers can now initiate a withdrawal online or via their mobile and then pick up the cash at any of MoneyGram's thousands of sites.

Later this month, PayPal customers will also be able to load money into their accounts at select MoneyGram locations in Dallas, New York and San Francisco, with a wider rollout following.

The pair say the new service supports Americans who do not have a bank account or credit card by making it easier to fund and maintain a PayPal account, as well as withdraw cash and send money to friends and family.

Mark Lavelle, SVP, strategy and business development, PayPal, says: "This new service will provide an even greater level of flexibility, convenience and value to existing PayPal users."

The agreement comes weeks after MoneyGram hired PayPal's Alexander Hoffmann as SVP, global product management and emerging channels.

Comments: (1)

A Finextra member
A Finextra member 06 August, 2013, 14:25Be the first to give this comment the thumbs up 0 likes

Yes, and others will join this non bank alliance. The bigger the network of participants the better and stronger it will be. I for one am in all favor of it.

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