Economy09.06.2026

Western Union money transfers in Israel are no longer available via the post office as the company has not renewed its agreement with Israel Post

International payment system Western Union is terminating its agreement with Israel Post's subsidiary, stopping cash transfer services across all post offices.

The international payment system Western Union is terminating its cooperation with Doar Finansim, a subsidiary of Israel Post. The decision takes effect on June 9, 2026, immediately following the expiration of the franchise agreement. The parties held an emergency meeting on the eve of the deadline, but failed to reach a commercial compromise.

For years, the state-owned postal service served as the primary operator of the system in the country, providing cash transfer services across 400 branches. Customers regularly sent funds to over 200 countries without a bank account, using only their identification documents. This move will deprive Israel Post of 15 million shekels in annual revenue.

Financial analysts state that the departure reflects a broader evolution of the remittance market toward digital platforms. Western Union will maintain its market presence in Israel through private exchange offices and its credit partner Cal. Customers must now redirect their financial transactions to commercial banks, use SWIFT transfers, or switch to alternative digital payment networks.

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