Consumer complaint received 2025-07-07 00:00:00
Product: Money transfer, virtual currency, or money service — Foreign currency exchange
Issue: Incorrect exchange rate — 
Company: WESTERN UNION COMPANY, THE
State: MI

Complaint narrative:
Subject : Formal Complaint Against Western Union Deceptive and Unlawful Exchange Rate Practices Business Name : Western Union Financial Services , Inc . 
Reference Number : XXXX Dear XXXX XXXX XXXX or Consumer Financial Protection Bureau Representatives, ( this will be filed with XXXX  too ) I am writing to file a formal consumer complaint against Western Union Financial Services , Inc., regarding its use of deceptive and unlawful practices related to currency exchange rates in international money transfer services. 

This complaint is based on a transaction I completed on XX/XX/year>, from the XXXX XXXX XXXX XXXX XXXXXXXX XXXX XXXX ( XXXX ), which involved a manipulated exchange rate that materially diverged from the official, published XXXX rate. The conduct described below is part of a systemic pattern of concealment and misrepresentation that enables Western Union to collect enormous sums of money from unsuspecting customers without proper disclosure.

Nature of the Deceptive Practice Western Union presented me with an exchange rate at the time of transaction that was significantly worse than the official rate published by the XXXXXXXX XXXX XXXX XXXX XXXX XXXX XXXX XXXX on the transaction date ). This official rate is publicly available and is applicable to all licensed financial institutions, including Western Union.

However, Western Union misleads customers by implying that this rate is imposed or dictated by the receiving country, when in fact, the rate is wholly controlled and imposed by Western Union itself. Customers are given no explanation or notice of the hidden markup embedded within the rate, and manymyself includedare falsely led to believe that the rate is a fixed requirement by the destination country.

Unlawful Financial Gain Through Concealment This practice is not merely misleadingit is profoundly unethical. Western Union 's failure to disclose this rate differential results in the collection of millions of dollars annually from consumers, without their knowledge or explicit consent. These funds are obtained through undisclosed currency conversion fees disguised as exchange rates, and are never itemized or voluntarily agreed to. 

The result is that a significant portion of each transaction is unlawfully retained by Western Union under the pretense of market fluctuation or country policy, when no such justification exists. This is an unauthorized financial gain, achieved without informed consent, and it violates both the spirit and letter of consumer protection and financial disclosure laws.

Violation of Consumer Protection Laws Western Unions conduct appears to violate the following statutes and regulations : The Consumer Financial Protection Act ( CFPA ) The Federal Trade Commission Act ( Unfair and Deceptive Acts or Practices UDAP ) Relevant provisions under international remittance laws that mandate transparency and fair dealing Requested Actions I request the Consumer Financial Protection Bureau ( CFPB ) and Better Business Bureau to : Open an immediate investigation into Western Unions exchange rate disclosure practices.

Require Western Union to issue a refund for the difference between the rate applied and the official XXXX XXXXXXXX XXXX rate on the date of my transaction. 

Ensure that Western Union ceases the practice of collecting hidden markups without clear, itemized customer consent.

Report these findings to the Consumer Financial Protection Bureau and Federal Trade Commission for further action.

Supporting Evidence I am prepared to submit the following documentation upon request : The original transaction receipt and reference number ( XXXX ) Official published exchange rate data from the XXXX XXXX XXXX  Correspondence with Western Unions Executive Resolutions Team Screenshots of Western Unions rate presentation and language used at the point of sale Conclusion Western Unions deceptive handling of exchange rates is not an isolated technicalityit is a business model built on misleading customers and extracting undisclosed profits from them. These practices not only violate consumer trust but are legally questionable and demand immediate scrutiny.

I appreciate your attention to this matter and trust that your office will take appropriate steps to investigate and hold Western Union accountable. 

Sincerely, XXXX XXXX XXXX Let me know if you want me to turn this into a PDF or help prepare a regulatory submission to the CFPB or FTC alongside this.

Company response to consumer: Closed with explanation