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Meet the Wal-Mart of Money Transfer Services

/ Source: CNBC.com
Wal-Mart exterior
Wal-Mart has launched a new money transfer service similar to Western Union, but with lower fees, that lets customers send cash from one Wal-Mart store to be picked up at another.Kevork Djansezian / Reuters

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Wal-Mart Stores said Thursday it will partner with Ria Money Transfer to launch Walmart-2-Walmart Money Transfer Service, a program that will allow customers to transfer money to and from more than 4,000 of its stores.

Wal-Mart exterior
Wal-Mart has launched a new money transfer service similar to Western Union, but with lower fees, that lets customers send cash from one Wal-Mart store to be picked up at another.Kevork Djansezian / Reuters

Through the service, customers can transfer as much as $50 for $4.50 fee, and up to $900 for a $9.50 fee. Customers are limited to one transfer per day.

The retailer said the idea for the service, which begins on April 24, was sparked by customers asking why money transfers were so expensive. Wal-Mart said the service costs as much as 50 percent less than other options available on the market.

"After listening to our customers complain about the high fees and confusion associated with transferring money, we knew there had to be a solution," said Daniel Eckert, senior vice president of services for Wal-Mart U.S.

Wal-Mart already offers a money transferring service through MoneyGram. MoneyGram will still be available to shoppers, particularly those looking to send more than $900 at a time—the cap for Ria's service, due to regulatory requirements.

Wal-Mart already offers check cashing, money orders and services for tax preparation.

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