PayPal partners with MoneyGram for cash withdrawal
PayPal users can now withdraw money from their accounts and pick up the funds via money transfer company MoneyGram, following a deal between the two US firms that also will see PayPal customers loading funds into their accounts via MoneyGram by the end of the year.
The new service is designed to help customers in the US who do not have a back account or credit card to fund and maintain a PayPal account, as well as withdraw cash and send money to friends and family. The money loading ability will be added in Dallas, New York and San Francisco in August, with other locations due before the end of the year.
“MoneyGram offers a powerful platform that we’re leveraging across the payments landscape, delivering new ways for customers to send and receive funds however, whenever and wherever they want,” said Pamela H. Patsley, chairman and chief executive at MoneyGram. “Innovation is at the core of MoneyGram’s business today, and we’re delighted to work with one of the world’s leading e-commerce companies to deliver this valuable new service.”
To support the MoneyGram service, a new co-branded website has been launched, providing step-by-step instructions for loading and sending funds to a PayPal account via MoneyGram. Customers can also use the site to initiate a cash withdrawal from their PayPal account. The funds can then be picked up from MoneyGram’s locations in the US.
“This new service will provide an even greater level of flexibility, convenience and value to existing PayPal users,” said Mark Lavelle, senior vice president of strategy and business development at PayPal.
MoneyGram operates through a network of 327,000 agents, including retailers, post offices and financial institutions in 198 countries. MoneyGram also offers bill payment services in the US and Canada.