How Does Moneygram Work?

MoneyGram provides a service that could be described as a money transfer service, pretty similar to Western Union, but: how does MoneyGram work?

MoneyGram has a lot of advantages when it comes to its usage. For people who don’t want to use to bank accounts for some reason, can use MoneyGram instead, to pay bills, buy groceries in super markets, medicines in drugstores and even use it in some small business, bus stations and more. It is very convenient thing to have, since they are available around the world, claiming that they have more than 350.000 locations worldwide. Still, transactions can only be done within the US and a few other selectable countries. Note that on some places you can even cash a check in check-cashing outlets, if you are in the need!

How does it work?

The provided services could be summarized like this:

  • You can send money from one branch to another if you fill the requirement papers, which can also be done online. Afterwards, you’ll be using your credit card, debit card or bank account to deposit money into your MoneyGram account. There are fees to pay when using this service, but they are relatively small, and depend on the place/country you are sending money to.
  • MoneyGram works pretty much as a bank and the money you send will be available after a few hours/days of completing the process. Normally, you’ll get a notification when the money is available for withdraw.
  • After completing the process, you will be receiving a number which will be used to prove ownership of the transaction. You will be sharing this number with the person receiving the money. The recipient will need to also prove its identity with some other form of paper work, such as their ID. Also, take in mind that the money will only be available for withdraw when MoneyGram has notified its availability.


Some people, new to these kinds of things, may have suffered from scamming due to not knowing how to identify scammers. MoneyGram is commonly used for scamming due to people not knowing how it work.

Having some knowledge about common scam signs can be the key to avoid them, and thus, we are going to share them with you!

  • If you don’t know who you are sending money to, stop! Always send money to people you know. Remember that the moment you send money using MoneyGram, you aren’t getting it back!
  • If you suddenly receive calls from people who claim to be your relative, and they ask money (even thought you don’t know who you are talking to), beware of certain scamming.
  • Do not send money to receive something in return. Buying things in online websites can only be done if you are 100% sure that the website is trustworthy, and still, scams can happen. We recommend to use MoneyGram for personal use and transactions to people you know, and not to buy things online, since the information required to send and receive money is considerably less compared to bank accounts. And of course, take note that you won’t get your money back even if you fill a complain claiming that you were scammed.
  • Do not pay money for sudden prizes/gifts popping out of nowhere while browsing.
  • If you see an offer that’s way too good to be true, it’s probably a scam.

We recommend to check the Frequently Asked Questions section of MoneyGram for more information!