TransferTo Launches Hub to Link Money Transmitters to Merchants
TransferTo has launched a global value remittance hub to connect money transfer providers such as Western Union and WorldRemit to local merchants.
TransferTo's white-label service allows users to send money across borders to family or friends for specific purchases. The company has partnered with universities, grocers, utility companies and hospitals around the world. Money can also be sent to top up mobile airtime.
"Allowing consumers to have more control over how their remittances are spent increases confidence, and makes it more economical for them to send small amounts to a wider range of recipients," said Eric Barbier, TransferTo's CEO, in a press release.
While WorldRemit is working on becoming compliant as a money transmitter in the U.S. to send funds cross-border, it's working with TransferTo to allow U.S. consumers to pay bills for family in other countries or send them grocery vouchers, Barbier said during an interview at Finovate Europe in London on Feb. 11.
Because of competition from startup remittance players like WorldRemit, Western Union, a TransferTo client, has had to look to banks and local network providers to stay competitive.
The company, which launched in 2005, also works with PayPal, Orange and Blackberry Messenger. Through TransferTo, these companies are connected to more than 1,000 merchants, mobile operators and utility providers in more than 100 countries. "TransferTo is the one-stop-shop for businesses seeking to broaden their portfolio of remittance options," said Barbier.