Western Union Reinitiates US-Cuba Money Transfer Route
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Western Union reopened its money transfer operations to Cuba on Thursday. Its services were paused in January after the Cuban government disclosed a “cybersecurity incident” impacting its banking mechanisms. Its operation has been halted since January 28, a couple of days before a Cuban representative revealed a cyber-attack that disrupted the electronic payment infrastructures of the country.
Customers Are Eligible To Transfer A Maximum of $2,000 At a Go
The Western Union declared that customers will be eligible to transfer a maximum of $2,000 in a one-off transaction through all its U.S locations, with mobile apps or online. The money can reach people in Cuba having data with the Banco de Crédito y Comercio, Banco Popular de Ahorro, and Banco Metropolitano S.A.
The president of Western Union, North America and the Latin America division, Mr. Rodrigo E. Garcia, aired his mind. He noted that he recognized the importance of the services and its connection between those residing in the U.S. and having relatives in Cuba.
He further expressed his joy as to the fact that their money transfer services will be reaching out to those on the island again.
He promises that cash would be made accessible on the same day, both on working days and non-working days. Transfers are deposited in accounts in MLC, Cuba’s virtual currency, even though they are transferred in dollars.
Miamians often make use of these services to transfer funds to their relatives living in Cuba. Stakeholders in Cuba and the American business community have also probed about the tax the Western market union is taking.
Western Union and Visa Join Forces
In late 2020 during President Trump’s administration, over 400 Western Union offices were initially closed in Cuba.
After two years, the government of Cuban accepted to form a fresh regulatory body to monitor the remittance process on the island. In March last year, the Western Union commenced its services. But the flow of businesses on the island has experienced a vast alteration. There had been widespread losses as the financial sector experienced a major meltdown.
However, the Cuban government claims its financial sector lacks adequate dollars left, which can aid the operations and transactions in Cuban. The government also stopped the citizens from receiving their cash in dollars.
Western Union and Visa have also collaborated to leverage Visa Direct to enhance global payments. As a result, customers of Western Union from more than 40 countries can send money globally. Both firms plan to issue Visa Debit Cards and Western Union in Europe, Latin America, Asia Pacific, and North America.
