Sending money to someone with no bank account

In My Humble Opinion
1

My wife’s niece seems to be in nearly constant need of “just a little money” to keep the lights or heat or water on or the rent paid. And the kids need medicine or new clothes and whatever whatever. We know logically we should stop sending money. But that’s just logic. Emotionally is a whole different ballgame. My wife is an extra easy mark here because her sister, the niece’s mother, was always rather one that needed looking after anyway and she has died somewaht recently… That’s the background story.

About 8 out of every 12 months , we are hit up to send money, fast. It is always last minute stuff. (Irritating as all get out. Stop what we are doing because they can’t plan). It is also always different amounts. And they do not have a bank account. They keep their money in a steel box. :rolleyes:
We’ve used Western Union to send them money, but adding insult to injury, that costs -us- at least $12 a pop.

Since I -know- another request for money will be coming soon, what do you think is the best way to get money there fast, and yet cheap? I sure do not want my name associated with their credit in anyway. Does Walmart or similar have a ‘money’ card, where we can go to the local walmart or similar and add cash to a card? Does the transaction post that day, so funds are available right then?

It would be even better if we could load the card via some kind of online method; since we have jobs. [I know, crazy huh?]

In writing this, it occured to me to look at PayPal. I’ll go there and check them out after I post this. Someone always has real world experience with these things.

Thanks!!!

2

As for bills, you can pay their bills directly if she gives you the account info. But when does it end? Can she get some sort of help? I assume she can, having kids.

3

I think Paypal requires that the other person have a bank account.

Would you be able to pay the bill directly, if it’s a claim that the electricity will be shut off or something? The local electric company and other utilities here let you pay by phone, though you need to know their account number. And don’t choose the “save this payment info” option at the end, of course, if it’s offered!

4

Check with your bank about reloadable Visa cards. My credit union offers the service and I have a niece who I’ve helped out just like that. I call up, they move money to the card with no fee (my CU is pretty awesome) and she’s got immediate access to the funds.

5

Reloadable Visa card.

6

Out of curiousity, are they “unbanked” because they’ve shot their credit to hell and no bank will take them, or is it a “choice”?

If it’s the former, as I suspect it is, your niece’s case just underscores how much it costs to be poor. When you make a reasonable income and have reasonable credit, banks and other institutions give you all kinds of services with their complements. When you’re dirt poor, you pay for every blessed thing.

The rechargeable Wal-Mart card may well be a good idea. For all the ethical lapses Sam’s successors have been accused of, they’re generally ahead of their shadier competitors in serving the unbanked.

7

They are indeed “unbanked” because they are poor.

They also have a history of not being very bright with what funds they do have. Since they rarely have it, they do not know what to do with it when they get it. And their parents never had money either. Poor. Poorly trained. Poorly educated.

Both of the niece’s kids are also borderline special needs/handicapped (birth defects).

On one hand, I do indeed feel sorry for them. On the other hand, the niece is something like 40 y.o and I don’t see this stopping until she is retired…maybe.

8

If you and your wife don’t step in … then what will happen? What would happen if - God forbid and knock on wood - you both died tonight; what would happen to the niece and her children then? They lose their home and start couch-surfing? Homeless shelter? Kids going into foster care or a group home? Some other relative steps in and starts helping out?

I ask because … they’re probably heading in whatever that direction is, anyway.
At any rate, don’t send funds (cash) that she can mis-use. You know how if you want to help a homeless guy out, but you don’t want to give him dollar bills because he’ll just spend it on booze and drugs, you buy him a sammich? Same deal applies here. You(r wife) can tell the niece things like: “We will pay for [[her kids - I’m losing track of the family tree here]] to go to the doctor; just have them send the bill to us.” You can send gift cards to whatever local grocery store is near her. You can call her power company and pay her utility bills for her.

But I would definitelydefinitelydefinitely stop wiring her money. She’s shown she doesn’t know how to use it wisely, so your dollars will go farther and help more if you manage the $$ on her behalf.

9

I recently found out that you can buy Kroger gift cards and add money to them as well. At least you know it would go for groceries.

10

Walmart money transfer

11

I’ve used UpSide Visa for this purpose

You do have to read the plans really carefully 'cause they are very different. For instance, some plans let you take money from your Upside Visa at an ATM, some plans do not.

And there is a monthly fee, so that can eat some things up. It’s good if you use it to send money and the person only uses it to withdraw at an ATM like once or twice a month.

If you do look, READ THE PLANS, they’re all different and if you select the wrong one, you might get hit with too many fees. If you select the plan that fits your needs it will be OK

12

I have a homeless friend who I gave a Walmart card to.
You have to go to a Walmart to add funds in person - despite the hype on the web, I’ve never been able to do it online.

One benefit of using something like Walmart is that they can’t get the cash…but they can buy food and clothing. So it helps ensure that your funds go to something useful.
-D/a

13

You can send money very easily by Western Union. The recipient can get it as cash at the receiving location. www.westernunion.com .

14

I also have a homeless friend with no bank account that I help from time to time - in another state. I got him a Walmart VISA card and have been successful in doing an instant online bank transfer to the card from walmartmoneycard.com. Once the money is tranfserred to the card, it can be withdrawn at an ATM or used for a purchase.

That said, I’ve run into problems more times than I’d like to think about with the online transfer. The company that handles this for Walmart is called Vesta. Well, many times a transfer has problems and it is one of two circumstances:

(1) They want to verify my identity for the umpteenth time. So after a reasonably quick call, the funds are now instantly available. This seems to happen more times than not, but no one can tell me why constant verification is required.

(2) The transfer is completely denied. Supposedly this has something to do with a cap that I’ve reached. But, no one at Vesta knows what that cap is - if it’s number of times used, $ amount transferred within a certain period of time. At this point, your only option is to go into a Walmart and buy a Moneypak, log onto the walmartmoneycard.com web site and enter the code from the card you just purchased and this gets funds on the card instantly.

I have been nothing but unimpressed with Vesta and classify them as an awful company! To set a cap and then not tell the consumer what that cap is - well, it’s beyond irritating.

Also, be advised that the Walmart money card is expensive to use. $2.95 on my end to make the transfer, then there are two fees when the person withdraws at an ATM at the other end - both by the money card and then the ATM charges - so 3 fees all together. I am not sure, but I think there is no fee on the recipient end for purchases. On top of all these fees, I believe there is also a monthly fee - really highway robbery.

For other instant fund possibilities, Moneygram is almost always cheaper than Western Union. Also, Moneygrams at Walmart tend to be cheaper than at other establishments where you do them in person. Overall, I’ve found going into a Walmart store and doing a Moneygram is the cheapest of all options - but not the most convenient. A Moneygram I had been doing at Publix cost maybe $12-15 and doing it at Walmart was $4 something.

Both Western Union and Moneygram cost more if you do them online vs. going into a store - but all work to get someone instant funds.

I think I’ll check if my bank offers a reloadable card. If so, that may be the easiest and cheapest of all.

15

I moved back to my home neighbourhood to take care of my Mom before she passed. It was a lovely area growing up but is now nothing but drug addicts etc. This was my Mom’s home & she wasn’t moving.

I have taken pity on many of the neighbours over the last 6 years. I cook them meals, give them money etc. What I learned a couple of Christmases ago, and it never occurred to me, is that if you give them grocery store gift cards thinking they have to buy groceries, you are mistaken. They will stand out front of that store and sell the cards for 1/2 the face value to get cash.

One fellow even sells the food he gets from the food banks to other neighbours who think it’s a really good deal. They can be very manipulative and I’ve learned it’s better to pay full price than play the games with them.

None of them like me now nor do they appreciate what I have done in the past. That’s okay. If you let it, it can be a bottomless pit. Just my opinion.

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Here in the Philippines, you have door delivery, mainly for rural recipients of overseas remittances. Rural banking is an undeveloped segment in my country. I suppose in a society with enough branch presence, this service is not in demand.

18

Walmart has just announced a new store to store transfer service (you go into a Walmart store to transfer the money, they go into another Walmart store to pick it up).
“Customers using Walmart-2-Walmart will pay $4.50 to transfer up to $50, and a flat rate of $9.50 to transfer between $50 and the maximum of $900. Walmart says that competitors charge $4.75 to $5 for transfers below $50, and anywhere from $11 to $76 for larger sums.”

19

:smack:

This thread is 4 years old. My bad.

20

Zombies don’t need cash to eat.