The Pitch – Is there anyway to protect yourself in a wire transfer?

September 25, 2009 – 12:26 pm – No Comment

Is there anything Western Union and other wire transfer companies can do to protect their customers from being scammed?

Question:

Scammers have been using wire transfers for years to lure people into sending money without actually receiving anything in return. Western Union, a form of wire transfer, is a favorite among said scammers. So, how can Western Union, as well as other wire companies, help protect customers from fraud?

Answer:

Western Union has to step it up when it comes to protecting the people who are using the service. If it were to become more of a escrow service, those who were using the service to conduct legitimate business would not be able to transfer money in a timely manner. However, if the escrow service could be limited to situations where customers are sending money in return for a service or product, this could work. The scammer wouldn’t want to do an escrow at all and that would send a red flag to the customer not to do business with that person.

Western Union has an opportunity here to protect customers from potential scam artists and to help it stand out, perhaps it should.

Have an idea or want us to use your pitch in the next issue? Then, make a submission on The Pitch Page.