Popular international money transfer service MoneyGram International has been down for several days due to a cybersecurity issue, the financial technology company reported.
MoneyGram said in a post on X that it began investigating the issue as soon as it was discovered and proactively took its systems offline to protect them. The company is working with experts and law enforcement to get back online and resume operations.
“We recognize the importance and urgency of this issue for our customers and partners,” the company said.
A MoneyGram spokesman did not immediately respond to questions about when service is expected to be restored or how the problem was detected.
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The Dallas-based company is widely used by immigrants in the U.S. and North Texas to send money and pay bills back to their home countries, where Mexico is the second-largest source of remittances after India, according to the Federal Reserve Bank of Dallas.
Social media users have posted online that they are unable to send or receive money due to the power outage.
In a report released earlier this month, MoneyGram surveyed 1,000 Americans who send money across borders, and of those who send money to loved ones overseas, nearly half said it helps cover food costs, and more than a third said they send money for emergency expenses.
These consumers reported that their money would be used to address the effects of inflation, geopolitical issues such as war and violence, natural disasters and climate-related issues.
MoneyGram Chairman and CEO Alex Holmes announced the remittance study on Sept. 12 and said that as the industry evolves, so does the company’s commitment to developing innovative digital solutions that shape cross-border payments.
“Our responsibility is to listen deeply to both senders and receivers around the world to ensure that our network and services not only meet but anticipate their most critical needs every day,” Holmes said.
Related: Dallas-based MoneyGram to refund $115 million to consumers who were defrauded
According to a Dallas Fed report released last fall, remittances from the U.S. to Mexico reached a record high of $55.9 billion in 2022. The increase in remittances to Mexico was likely due to strong employment in the U.S. construction sector, a major employer of Mexican migrants, the Dallas Fed reported.
The average monthly remittance to Mexico in 2022 was $390.
According to the company, MoneyGram has more than 50 million users in over 200 countries and territories and processes more than $200 billion in transactions each year.
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