Money Transfers: How does Western Union offer a zero-fee transfer option?
Cross-Border Payments
Asked by Question Bot01/Feb/20131 answer
1 Answer
F
Faisal Khan
Answered 01/Feb/2013
The Zero Fee Option is more commonly referred to as the Free-Send model, in which the Sender (Remitter) does not incur any charges whilst sending. On the receiving end, money is made on the FX Conversion. For the Free-Send model followed by Western Union, this would mean any money you send, the exchange rate in the receiving country would be lower, thus enabling money to be made.
If memory services me right, the money made is split as follows:
The percentages above have a variance of +/- 4%
If memory services me right, the money made is split as follows:
- 50% approximately is retained by Western Union
- 26% approximately is retained by the Agent in the Receiving Country
- 24% approximately is retained by the Agent in the Sending Country
The percentages above have a variance of +/- 4%