The market of cross border payments is huge as people all over the world are continuously sending money back and forth. Samsung Electronics wants to be a part of this market and avail a seven hundred billion dollars opportunity. It has just announced a new service for meeting that end.
With the new feature, Dubbed Money Transfer, the customers of Samsung Pay are able to send money across borders to 47 countries using the digital wallet of Samsung including China, India, Mexico, Africa, and the Philippines. Money Transfer shall also be rolled out to other markets in the year 2020. Samsung Electronics has collaborated with Travelex which a unit of the United Kingdom platform for payment, Finablr for making this service a reality.
The CTO of Finablr, Mehul Desai has said that there is a huge demand by consumers around the world to be able to send payments more securely. He said that they wished to reduce the friction in doing so and bring more convenience in this market. Desai said that one of the biggest complaints related to cross-border payments was the lack of transparency regarding the fees associated with transferring money. Users are not always aware of the charges of sending money abroad.
Money Transfer solved this problem of the users so before pressing send; they knew how much money would be cost for sending their amount. Desai said that these fees shall vary depending on where it was being sent and the amount itself and the cost could be as low 1.72 dollars. He, however, refused to mention how high the percentage could possibly be other than its competitors with players of other industries. Western Union, the current leader in cross-border payments charges around 5 percent on average whereas Fintech startup, Remitly charges around 1.3 percent.