Western Union remittance rates high from Georgia -says customer

Western Union remittance rates high from Georgia -says customer

Stabroek News
January 5, 2003

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A Western Union Money Transfer client in Georgia, USA, is disputing the local franchise holder's claims that its charges from the USA to Guyana are among the cheapest.

A Guyanese resident of Georgia wrote to Stabroek News late last month noting that based on eight transactions conducted from 2001 to the end of last year, the charges from Atlanta, Georgia, to Guyana were US$22 for sums of US$150 and US$200.

The following information was sent by the client from outlet #5, Atlanta Check Cashers located at 4735 Memorial Drive, Decatur, Georgia 30032.

Receipt Nos       Amount       Service    Charge Date
0121229196-3     $150                 $22      12/16/02
0121071883-5     $200                 $22      10/28/02
0118280006-6     $200                 $22      06/08/02
0110429996-4     $200                 $22      04/18/02
0104899269-6    $200                  $22      02/20/02
0104899269-6    $50                    $12      02/07/02
01181265-8        $200                  $22      10/23/01
01181677-2        $200                  $22      09/18/01

Country Director, Grace Kennedy Remittances Guyana Ltd, Anna Lisa Fraser-Phang, told Stabroek News that while it would be right to say that the charges from New York to Guyana and the Caribbean are among the cheapest, charges may differ in other states in the USA.

The lower rates in New York may be due in large part to the large Guyanese and West Indian populations found there, she said.

Fraser-Phang said that the rates from other parts of the USA to Guyana and the Caribbean may be higher but Western Union is currently discussing revising its rates outside of New York. She said that a meeting to this end is due to be held on January 10.

She said that the charges for sending US$200 from New York to Guyana averages US$15 and for the sum of US$300 the rate was US$18. Grace Kennedy holds the franchise for Western Union in Guyana.

She said a popular outlet in New York, the Caribbean Outpost at 887 Utica Avenue, Brooklyn, intended to serve Guyanese and Jamaicans, has become very popular with other Caribbean nationals who are now using it.

Western Union has disputed the findings of a report prepared for the US Agency for International Development (USAID) by immigration specialist Dr Manuel Orozco, that its charges for remittances from New York to Guyana are among the highest in South America. Orozco had reported that its average was US$31.60 for sending US$250 while the lowest charges by other money transfer companies were tagged at US$19.76 and US$21 for transmitting the same sum.

Western Union has a large proportion of the remittance business in Guyana operating over 36 outlets throughout the country, including in Georgetown, Rupununi, Corriverton, Linden and Bartica. It is currently looking at the possibility of opening an outlet in Mabaruma in Region One.

Based on the rates for sending remittances to Guyana, Dr Orozco had said that Guyana was the most expensive country after Cuba for sending US$200 from the USA.