TransferWise, UK based startup, is now letting users to move over ~ $778 M all over the world with the help of its platform. Just to put things in perspective:
1. Un-related but this is the amount of money that all of the banks in Greece have got left, combined together.
2. New-Age remittance players are really hot right now, with Paypal acquiring Xoom
3. Compared to the bank rate, the company saves around $34 M a month in fees of the customers.
Till now the company has taken more than 2 percent of the London global remittance market over a period of four years since its launch. Banks charge high fees for sending money internationally. With TransferWise, anyone can send more at a fair rate. The pricing is transparent. The exchange rate is the real one. The small fee is easy to spot.
TransferWise co-founder Taavet Hinrikus said in a blog:
“Exceeding the £500m (~$778 M) a month milestone is important as it shows a fundamental shift in people’s awareness of how banks, brokers and others take advantage of customers by hiding the real cost of international transactions.
“We transfer tens of millions of customer money every day and we have approximately two per cent UK market share of the international money transfer business. This figure is only going to grow as customers become fed up with the traditional banking sector and look for fairer alternatives like TransferWise”.
In January 2015, the company received a funding of $58 million in a Series C funding round led by US venture capital firm Andreessen Horowitz. The investment also included backing from existing TransferWise backers Sir Richard Branson, Peter Thiel’s Valar Ventures, Index Ventures, IA Ventures, and Seedcamp.
The company had planned to use the new fund for international expansion. One of the aim of the company is to expand and reach as much as people possible to save them from the high bank charges for money transfer.
Apart from US, the recent currency routes served by TransferWise include transacting money to Pakistan, Brazil, Nigeria and Morocco.