Thread: Immigration bill poses risks for money-transfer firms

Industry Spotlight
Immigration bill poses risks for money-transfer firms

Updated: 05/22/07 7:54 AM


Western Union Co. (WU) and Moneygram International Inc. (MGI) might seem obvious winners in the push for a Senate bill that would give temporary worker status to the country’s 12 million illegal immigrants. In fact, the bill — which Banc of America Securities estimates has only a 40 percent chance of becoming law – has risks for investors in moneytransfer companies.

Last month, Western Union Chief Executive Christina Gold said the bill’s requirement that foreign workers pay a $5,000 fee for temporary visas depressed revenue in the most recent quarter. Workers have been sending less money home as they save more.

Folding illegal immigrants into the mainstream would give retail banks more potential with this “underbankedâ€

Well they won't be sending much money back after they get hit with taxes, once/if they become legal.

And our government knows housing fell off...where do they think these people are going to work? Oh, yeah, let's give them our jobs again!