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$13 million multistate agreement reached with MoneyGram

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Dallas-based MoneyGram Payment Systems Inc. will improve its efforts to combat money transfer fraud and pay restitution to some consumers through a $13 million agreement with attorneys general in 49 states, including Iowa, and the District of Columbia. The settlement, through an assurance of voluntary compliance, resolves a multistate investigation that focused on complaints from consumers who used MoneyGram’s money transfer service to send funds to third parties involved in schemes to defraud consumers. Generally, consumers who are eligible for restitution must have filed complaints with MoneyGram or the Attorney General’s Consumer Protection Division between July 1, 2008, and August 31, 2009, regarding fraud-induced money transfers to foreign countries other than Canada. Consumers with questions about the settlement will find more information online.