RemittancesGateway.org

Western Union expanding Cuba remittance service

Monday, 12 December 2011 14:34

By adding an electronic feature, Western Union Co. is expanding its Cuba service from a handful of approved agencies to most Western Union locations in the United States.

A new electronic affidavit feature allows customers to make a sworn statement to the U.S. government electronically from most agencies, replacing manual and fax paperwork verifications.

Western Union began offering money transfer services from the United States to Cuba in 1999. The company has more than 220 agent locations in Cuba. Thanks to a U.S. policy change in 2010, Western Union remittance recipients in Cuba can now be paid out in Cuban convertible pesos (CUC), avoiding a 10-percent surcharge on U.S. dollar exchanges.

In May, Western Union Americas President Stewart Stockdale said on Bloomberg TV his company’s Cuba remittance business is showing “exponential growth,” thanks to a change in U.S. regulations that allows U.S. citizens and residents to send money to extended family and friends. In 2010, the Obama Administration eased restrictions on remittances imposed by the Bush Administration in 2004.

Stockdale: 'Exponential growth'