When it comes to quick, convenient money transfers, it‘s hard to beat the extensive agent networks of Western Union and MoneyGram. With over 500,000 and 400,000 locations respectively, spanning more than 200 countries, these two giants have made it easy for people worldwide to send and receive money. In the U.S., many of these agent locations are found right inside the retailers we visit regularly, like Walmart, CVS, and 7-Eleven.
But what about Target? The red bullseye retailer is known for its trendy-yet-affordable offerings, loyal fan base, and pleasant shopping experience. So it would seem to make sense for Target to offer the added convenience of money transfers too. I set out to investigate whether you can send or receive money through Western Union or MoneyGram while on a Target run. Here‘s the full scoop on what I found.
The Bottom Line: Target Doesn‘t Offer Western Union or MoneyGram
After digging through Target‘s website, app, and in-store service offerings, I can conclusively say that no, Target does not have Western Union, MoneyGram, or any other third-party money transfer services available. This applies to all 1,900+ Target stores across the U.S. as well as Target.com and the Target app. You simply cannot send money, receive a transfer, pay bills, or purchase a money order through these popular networks while shopping at Target.
This differs from many of Target‘s competitors, who have long partnered with the major money transfer providers. For example:
- Walmart, with nearly 5,000 U.S. locations, offers MoneyGram transfers, money orders, and bill payments at most stores.
- Walgreens and CVS have Western Union services at the majority of their 9,000+ locations apiece, many 24/7.
- Kroger, America‘s largest grocer, provides MoneyGram at over 2,000 stores.
- Tens of thousands of other independent retailers like check cashers, convenience stores, and more offer money transfers.
So why is Target the odd one out? The company hasn‘t publicly shared its reasoning, but after analyzing Target‘s strategy and business model, a few key factors likely contribute to this decision.
Why Target Likely Doesn‘t Offer Money Transfers
Simplicity and Focus – Target has long aimed to differentiate on a streamlined, design-centric shopping experience with a curated product assortment. Money transfers can be a complex business involving regulations, security, specialized staff training, and customer service that don‘t necessarily align with Target‘s core retail strengths.
Target‘s Financial Services Strategy – Compared to some competitors, Target offers a more limited set of financial and quasi-financial services, which currently include:
- Target RedCard – A credit or debit card offering 5% off Target purchases and free shipping
- In-Store Payments – Accepts cash, check, credit/debit cards, EBT, and Target GiftCards
- Cash Back – Offers up to $40 cash back at checkout with debit card purchases
- Prepaid Gift Cards – Sells third-party Visa, Mastercard, and Amex prepaid debit cards
- Limited CVS Pharmacy Services – Access to some basic healthcare and pharmacy via in-store CVS clinics, but these don‘t include money services
Over the years, Target has experimented with other offerings like the now-discontinued Target Prepaid REDcard, which it stopped issuing in 2016. At one point, Target even had its own bank, Target Bank, which it sold to TD Bank in 2013. These moves suggest Target has purposely chosen to step back from ancillary financial services to focus on its core retail experience.
Resource Allocation – Offering money transfers would require Target to allocate store space, technology, capital, and employee time that the company seems to have decided is better utilized on enhancing its retail offerings, store environment, omnichannel capabilities, and supply chain.
Customer Demographics – Target‘s customer base skews younger, more affluent, and more tech-savvy than the national average. In 2022, over 60% of Target‘s sales came from households earning more than $75K annually. These consumers may have less need for in-store money transfers.
So while it may seem counter-intuitive for such a major retailer not to offer the convenience of money transfers, the evidence suggests it‘s a strategic choice on Target‘s part to focus on excelling at its core business rather than trying to be all things to all people.
The Changing Money Transfer Landscape
Another major factor in Target‘s decision to eschew money transfer services may be the changing dynamics of the payments industry itself. Legacy agent-based cash transfer models, while still filling an important need for many, are arguably becoming less essential for a growing share of the population.
Consider that in 2022, 76% of U.S. adults had a smartphone, 89% used the internet, and 97% had some type of bank account, per the Federal Reserve. These adoption rates are even higher among younger demographics. This ubiquity of digital access is enabling the rapid growth of mobile payment services, P2P payment apps, and digital-first cross-border transfer providers.
For domestic payments, apps like Venmo, Zelle, and Cash App have made it incredibly easy (and often free) to instantly send money to friends and family. Usage of these P2P payment services has skyrocketed, with Zelle alone reporting $490 billion sent in 2021 across 1.8 billion transactions.
For international money transfers, digital players like Wise, Remitly, and Xoom (owned by PayPal) are using technology to offer an improved customer experience with lower fees, better exchange rates, and more transparency than the traditional providers. Wise alone has over 13 million customers and processed $68 billion in cross-border transfers in fiscal 2022.
Even governments and central banks worldwide are working to enable faster, more efficient digital payments. The Federal Reserve recently launched its FedNow service to facilitate real-time payments between U.S. banks. According to the World Bank, 75% of central banks are exploring central bank digital currencies (CBDCs).
While all this doesn‘t mean physical cash transfers will disappear overnight, it points to a future in which digital options are likely to play an ever-larger role. For a retailer like Target aiming to attract younger, more affluent, and more digitally-native consumers, doubling down on mobile apps, digital coupons, and omnichannel fulfillment may simply offer better ROI than installing money transfer desks.
Where to Transfer Money Instead of Target
Even if Target isn‘t the money transfer destination, there are still plenty of options for sending funds both domestically and abroad. Here are some of the most common and convenient choices:
Walmart and MoneyGram
With MoneyGram services at nearly all of its 4,700 U.S. stores (many open 24/7), Walmart is one of the easiest places to transfer money. Customers can:
- Send money within the U.S. for pickup in minutes
- Send money to 200+ countries and territories worldwide for pickup at 400,000 locations
- Receive funds sent from domestic or international senders
- Get a money order or cashier‘s check
- Pay bills like utilities or credit card balances
Fees vary based on transfer amount and delivery method but for a $200 transfer within the U.S., expect around a $13 fee to send for cash pickup or $6 for deposit to a bank account or prepaid card.
Pharmacies and Western Union
America‘s two largest pharmacy chains, CVS and Walgreens, have around 18,500 locations between them, and the vast majority have Western Union services, with many open 24/7/365. You can send money to 200+ countries and territories for cash pickup, bank account deposit, or in some cases mobile wallet delivery.
Sharing similar international reach as MoneyGram with 500K+ global agent locations, Western Union may be more convenient for out-of-country transfers. Fees also vary but tend to be slightly higher than MoneyGram, with a $200 U.S. domestic transfer around $15 for cash pickup or $10 for account deposit.
USPS and MoneyGram
With over 31,000 locations nationwide, your local post office can also be a good spot to send money via MoneyGram, which partners with USPS. Most post offices offer domestic and international money transfers, bill payment, and money orders.
Digital Money Transfer Apps
For tech-savvy consumers, consider trying a digital money transfer service like:
- Wise – Specialty is transparent, low-cost international money transfers to 80+ countries
- Remitly – Offers instant transfers to 100+ countries with excellent exchange rates and mobile experience
- Xoom – PayPal-owned service for sending money abroad to 160+ countries, often within minutes
Digital providers typically verify your identity and funding source (bank account or debit/credit card) then allow you to send money right from your phone or computer for cash pickup, bank deposit, or mobile wallet credit. For international transfers, you‘ll often get much better exchange rates and lower (or even no) fees compared to legacy cash-based services.
Choosing the Right Money Transfer Method
With all these options, it can be hard to know what‘s best for your specific money transfer needs. Here are some factors to consider and tips for making the optimal choice:
Transfer Amount – If you need to transfer a large sum, an electronic bank-to-bank transfer or wire is often the most cost-effective and secure method. For smaller everyday amounts (under $500-$1,000), a walk-in cash transfer at Walmart or a pharmacy is likely the fastest option.
Destination – If your recipient is in a developed country and can easily receive a bank transfer or mobile payment, a digital provider will often be cheaper and faster than cash. If they are unbanked or in a developing market, cash pickup may be the only reliable choice.
Urgency – If the money is needed within minutes, your best bet is usually a walk-in cash transfer at a nearby agent location like Walmart, Walgreens, or CVS. If you have a few hours or days, an online transfer will likely be more economical.
Cost – Be sure to compare the total cost of different methods, factoring in transfer fees, exchange rates, and any incidental costs like gas or parking for traveling to an agent location. Online transfers are often (though not always) the cheapest all-in.
Convenience – If you‘re already out shopping, stopping by the MoneyGram or Western Union desk at your local big box retailer or pharmacy is often the simplest choice. If you‘d prefer to handle it from your couch, consider one of the mobile-first digital providers.
Safety – Reputable money transfer providers are generally quite safe, with systems in place to protect against fraud. Still, avoid sending money to someone you don‘t know and trust, and be sure you understand what identification or codes they‘ll need to successfully pick up cash.
Taking a few moments to assess your specific priorities can help point you to the money transfer method that will best meet your needs.
The Future of Money Transfers: A Shifting Landscape
While Target may not be the place to go for your money transfer needs, one thing is clear: the payments landscape is evolving rapidly. With the proliferation of smartphones, digital banking, and mobile apps, more and more consumers are turning to faster, cheaper, and more user-friendly ways to send money.
In 2022, digital wallet users surpassed credit card users for the first time, with over 4 billion people sending or receiving a digital payment, according to the Global Findex. And in 2021, the value of digital remittances grew by 48%, according to the World Bank.
For younger, more affluent consumers like Target‘s core demographic, these digital payment methods are often more aligned with their preferences and lifestyles. While the 1.7 billion adults worldwide who remain unbanked will continue to need cash transfer options for some time to come, the direction of the industry seems clear.
Businesses are taking note too. Even Western Union and MoneyGram, built on a sprawling network of physical locations, are investing heavily in digital transformation, with digital revenue reaching 24% and 39% of their respective money transfer segments in 2022. Walmart launched its own neobank, One, and has even piloted MoneyGram transfers within its app.
So while Target may be betting on a more digitally-centric approach to serving its customers‘ financial needs, it seems to have its finger on the pulse of where the payments world is headed. As technology continues to break down borders and enable instant, low-cost transfers worldwide, we can expect the retail money services landscape to keep evolving too.
