MoneyGram International (NYSE:MGI), a leading global payment services company, and Visa (NYSE:V), the world's largest retail electronic payments network¹, announced today the launch of MoneyGram's first cash-to-Visa card program enabling consumers to transfer money from MoneyGram locations in the United States directly to the Visa accounts of recipients outside of the United States.
At launch, the program will enable funds to be received on Visa-branded credit and debit cards issued by Banco Industrial, a leading Visa bank and MoneyGram agent in Guatemala.
"The launch of our cash-to-card program is exciting because it provides more choices and added convenience for consumers in the U.S. and Guatemala, and brings a whole new segment of customers to MoneyGram," said Pamela H. Patsley, MoneyGram International chairman and chief executive officer. "Our relationship with Visa and the ability to leverage its extensive global network will provide MoneyGram with access to Visa cardholders around the world and reach critical territories where there is incredible opportunity to bring this value-added service to new consumers. We expect to work with Visa to expand the cash-to-Visa card service to several additional countries by the end of the year."
The MoneyGram cash-to-card service will be available at most U.S. MoneyGram locations, including the 20 top agents for remittances to Guatemala. The cash-to-card money transfers are processed through Visa's secure network and funds are transferred directly to eligible Visa debit and credit accounts via Banco Industrial.
Once funds are sent to the card, recipients can access the money 24-hours-a-day, anywhere Visa is accepted.
"Visa money transfer services simplify the way people send and receive money both domestically and across borders," said Jim McCarthy, Global Head of Product at Visa Inc. "Today's launch with MoneyGram marks the latest momentum for Visa's money transfer service, enabling U.S. consumers to transfer funds through Visa's secure, reliable global payment network."
"For the first time, Guatemalans with eligible Visa cards can receive remittance funds without having to visit a physical MoneyGram location," said Patsley. "It also gives Guatemalans living in the U.S. some added peace of mind as they now have one more alternative to ease the process of getting money into the hands of friends and family."
Banco Industrial has served as a MoneyGram agent since 2006 and has 377 locations in every major city and most communities in Guatemala.
"We are glad that we had made an alliance of this type with Visa and MoneyGram, an alliance that will provide Guatemalans in the United States and in Guatemala, access to a new way of sending and receiving money. This will definitely provide Guatemalans with new advantages and benefits that will improve directly their way of living" said Luis Prado, Banco Industrial International Division Manager.