What do you get when you cross an international money transfer (IMT) provider with a neobank?
A pretty cool collaboration.
In a first of its kind, IMT provider, Transferwise and neobank, Up Bank have teamed up to make sending money overseas easier than ever.
More than 130,000 Up Bank customers will now be able to send money internationally in 52 currencies, all from their transaction account.
“Bringing Transferwise for Banks to Australia is another positive step towards our vision of everyone getting a fast, cheap, transparent way to send money abroad and we’re thrilled to have Up on board as our first Australian partner,” said Transferwise Head of Banks, Murali Akella.
And speaking of transparent, customers using the platform won’t have to worry about being stung with exchange rate markups, they can see exactly how much they’ll pay in fees as well as how much the recipient will collect in the foreign currency - a move that’s come in response to recommendations by the Australian Competition and Consumer Commission (ACCC).
Over a year ago, the ACCC announced it would be launching an enquiry into foreign currency conversion services and found that loyalty to the big banks was costing customers a bundle and that prices were too difficult to compare, as each provider advertised their rates differently.
One of its recommendations involved foreign currency conversion providers to disclose any international transaction fees as well as any upfront costs.
According to Akella, Up customers sending money overseas are not only set to save, but will be able to make transfers in the blink of an eye.
“By plugging into our API, Up just became the fastest and cheapest to use in Australia for international payments,” he said.
“In fact, Australians staying with traditional providers could end up paying 5-8x more than Up customers, who will have a seamless, low-cost Transferwise experience without leaving the Up app.”
Transferwise, via Up, are said to be introducing a private beta of the service next month, with a proper launch to follow shortly.