New York state sues MoneyGram for raping consumers multiple times

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The state of New York is suing international money transfer company MoneyGram for multiple consumer violations. New York Attorney General Letitia James and the Consumer Financial Protection Bureau filed a lawsuit on behalf of residents today, Thursday, April 21, 2022. MoneyGram International, Inc. and MoneyGram Payment Systems, Inc. allegedly repeatedly violated state consumer protection laws.

the attorney general it is accusing MoneyGram of failing to deliver money to recipients in a timely manner or providing a refund to consumers when their transfers were delayed. These practices unfairly affected the immigrant population of the state who used the company’s services to send money to their families and loved ones in their countries of origin. The lawsuit claims MoneyGram failed to accurately communicate with New York consumers when their money transfers would be delivered and kept them in the dark if an error occurred.

Governor Candidate New York Attorney General Letitia James attends a canvassing event in Brooklyn, one day after announcing her candidacy

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Attorney General James said:

Our immigrant communities trusted MoneyGram to send their hard-earned money to their loved ones, but MoneyGram let them down. Consumers deserve to know where their money went. Businesses have an obligation to be transparent with consumers, treat them fairly and follow the law, but MoneyGram repeatedly failed to do so. Today we are suing MoneyGram to correct its illegal practices and prevent them from further harming consumers. New Yorkers can trust my office to always protect them from unscrupulous companies.

MoneyGram has 430,000 locations in the United States and around the world. The service is frequently used by immigrants in New York State. In 2020, more than 600,000 New Yorkers sent and received money at MoneyGram locations in the state 3.8 million times.

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If you need to file a consumer complaint, you can do so with the Office of Consumer Fraud and Protection online or by calling (800) 771-7755.

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