Walmart relaunches Mexico money transfers – at a discount

Customers can once again send money from a U.S. Walmart store to a Mexican Walmart store, at a competitive price.

The discount giant is charging as little as $2.50 per transaction for money transfers from the U.S. to Mexico through its Walmart2Walmart money transfer program. According to Walmart, this is at least 50% lower than similar offerings on the market.

Launched in 2014 as a way for customers to send money between U.S. stores, Walmart2Walmart began offering a money transfer service between the U.S. and Mexico in 2016. That service paused in 2018 while Walmart invested in lowering prices and boosting the infrastructure to support the new service launched March 3. Walmart is relaunching this service as it says remittances to Mexico from the U.S. have risen 27% from 2021.

In 2017, Walmart added new “rollback” fees to the Walmart2Walmart money transfer program. The new fees save customers between 20% and 90% on cash transfers versus the leading competitor, according to Walmart. For example, shoppers sending $250 at the time would pay $8 through the new program, compared to fees that could range between $12.50 and $24 at competing services.

The program, supported by electronic payment and transaction processing solutions provider Ria, also features transparent national pricing in all Walmart stores compared to other leading competitors that may vary prices location by location, according to the retailer.

Walmart has been building its presence in the financial services space. In May 2021, the company began making Western Union money transfer services available at all 4,700-plus Walmart locations across the U.S. 

In addition, Walmart backs a fintech start-up in a strategic partnership with fintech investment firm Ribbit Capital, one of the venture capital firms behind Robinhood. Walmart previously said the new initiative will combine its retail knowledge and scale with Ribbit’s fintech expertise to deliver tech-driven financial experiences tailored to Walmart customers and employees. 

In January 2022, the start-up entered into agreements to acquire fintech platforms Even and One. The acquisitions, which are expected to close in the first half of 2022 pending approvals, mark the start-up's emergence from stealth mode. The combined company will be called One.

Through this acquisition, the start-up is looking to create a single financial services app that enables consumers to get paid, spend, save, borrow and invest their money for interest. According to Walmart, almost one-quarter of U.S. adults are unbanked or underbanked, and roughly 80% of financial technology users rely on multiple accounts to manage their finances.

“We are thrilled to offer Walmart shoppers a convenient way to send money to their loved ones in Mexico at an incredibly low price,” said Julia Unger, VP, Walmart Financial Services. “Our low-fee strategy demonstrates our commitment to continue improving the financial well-being of our customers around the world.”

“We are delighted to collaborate with Walmart on this exceptional service, which provides customers price benefits and easier access to fast, safe and guaranteed money transfers to Mexico,” said Juan Bianchi, CEO of Euronet’s Money Transfer Segment. “Thanks to Ria’s scalable capabilities, coupled with Walmart’s large footprint, we can help Walmart offer unrivaled value and convenience to Mexicans living in the U.S. and their families back home in Mexico.”