Has anyone used XOOM before?

[jp]

Just saw the ad on the site. They're offering to transfer dollars to argentina (to a bank account or cash pickup), and pay out 5 pesos per dollar sent. Thats about 15% above the official exchange rate, and a much better rate than I get selling dollars informally (currently getting 4.8).

This makes no sense to me, so maybe I'm missing something. There's a 3% fee for sending money, but even with that factored in you're getting 12% more than the official exchange rate. Any ideas how this works? Do you get stung with hidden charges at some point?

 

[sesamosinsal]

I was going to ask the same question. There has to be a catch.

A few years ago, I used Xoom to transfer a deposit to an Argentine landlord. I made the transfer to her bank account via Xoom. It was converted to pesos after going through the central bank (to be expected), but it worked out perfectly.

 

[121Spanish]

I use Xoom all the time and collected cash through More money transfer yesterday.
yes it is legit.
I think a large company has negotiated with Xoom to change their pesos to Dollars at a higher rate to get the money out of Argentina before it collapses.

 

[mcaffa]

I've used Xoom before and had no problems. At the time, I was able to receive the money in dollars. From what I've heard, that is no longer the case. You can only get pesos.

One word of caution: If you don't have a DNI, you'll need to send the money to someone who does or else the bank won't give you the money. About 4 years ago, I sent myself money via Xoom, went to Banco Francés and was told that they couldn't give me the money because I didn't have a DNI. A passport would not suffice. I had to reverse the transfer and then make another one to my Argentine husband.

At the time, Xoom's rates were a lot lower than Western Union's. Not sure if that's the case anymore. If it is, I recommend Xoom - as long as you know a trustworthy DNI holder who can pick up the money for you.

 

[Sleuth]

I just sent a $25 test and it works great. I'm planning on dumping Schwab for this on a monthly basis. The more you send, the better the rate works out to be.

 

[Sleuth]

I use Xoom all the time and collected cash through More money transfer yesterday.
yes it is legit.
I think a large company has negotiated with Xoom to change their pesos to Dollars at a higher rate to get the money out of Argentina before it collapses.

Did you need you need to have a DNI to pick up the money?

 

[henryb]

One word of caution: If you don't have a DNI, you'll need to send the money to someone who does or else the bank won't give you the money.

I received a Xoom transfer in Banco Frances about 6 month ago with a foreign passport and a CDI (without DNI). I assume Banco Frances has stricter requirements than More Money Transfers - their another agent.

Please, keep in mind, that if you send dollars, Banco Frances converts them to pesos according to the official rate. I assume, you need to specify, that you want money to be delivered in pesos for Xoom to apply their own rate of 5.016.

 

[mcaffa]

I received a Xoom transfer in Banco Frances about 6 month ago with a foreign passport and a CDI (without DNI). I assume Banco Frances has stricter requirements than More Money Transfers - their another agent.

Interesting to hear. The guy at Banco Francés had told me that the DNI requirement was set by the Banco Central. Maybe they changed their policy.

 

[flurec]

I used xoom a couple of weeks ago when the rate was official. What I couldn't understand at the time is that they listed Banco Frances as "US dollars" but they (Banco Frances) insisted that they only paid out pesos.

Fees are very cheap and transfer was done in 10 minutes and available for pickup. Much more convenient/economical than Western Union who forces you to wait to receive a PIN via mail.

This 5peso/dollar creates an arbitrage opportunity.

 

[sgarlow]

If anyone manages to do with just a passport (no DNI, or other ID number), can you post here? Wondering if it's an option.