MoneyGram is a money-transfer service that facilitates transfers to most countries around the world. As an institution, MoneyGram has instituted polices designed to protect the company from loses and to protect customers from fraud. These policies include limitations on how you can use MoneyGram’s service and how much money you can transfer and receive using the service.
For all regular transfers, MoneyGram limits the amount of the transfer to $899.99 per transfer. There is also a limit on the total amount that you can transfer in a month. MoneyGram’s monthly transfer limit is $3,000 within any given 30-day period, as of 2011. However, the individual and monthly transfer limits do not apply to mortgage or car loan payments. MoneyGram allows you to transfer up to $2,500 per transaction to pay mortgage or car loans.
The bank account limitations placed on a MoneyGram transfer will depend on the policies of your banking institution. Since MoneyGram is a third party that transfers money between financial institutions, MoneyGram transfers have to work within the parameters established by the third-party financial institutions. For example, if your personal bank account only allows a limited number of monthly transactions, your bank will not process a MoneyGram transfer that exceeds your monthly transaction limit. In this case, your bank would decline the MoneyGram transfer.
If your bank does limit your transactions and you initiate a transaction that exceeds your limitations, your financial institution may charge you a fee. Most financial institutions will charge you this fee even if the MoneyGram transfer does not go through. If your bank does approve a MoneyGram transfer that exceeds the transaction limits placed on your account, you will have to pay the fees resulting from the transaction. In other words, MoneyGram will not pay these fees on your behalf. A similar situation applies if you attempt to transfer money out of your account without sufficient funds. In this case, your bank may charge you an overdraft fee regardless of whether your bank approved or declined the transaction.
MoneyGram clearly spells out its limitations in its terms and conditions. MoneyGram, however, reserves the right to change these limitations at any time for any reason. MoneyGram also reverses the right to refuse to process any transaction for any reason. Therefore, you should always verify that MoneyGram processed your transaction after initiating any money transfer using the MoneyGram service.