Fintechs join to offer faster, cheaper international money transfers
(17 March 2017 – United Kingdom) TransferWise has partnered with UK-based, online-only Starling Bank in a move aimed at providing easier and cheaper international money transfers.
The service will allow customers to make transfers from the UK across the 35 currencies available in the TransferWise app, including the euro, US dollars, Indian rupees and Australian dollars.
TransferWise and Starling Bank said the venture is an attempt to “revolutionise an outdated financial industry” and provide "a fair, transparent banking experience for consumers”.
According to reports, Starling Bank customers will benefit from foreign currency payments at the real exchange rate with only “a small upfront fee”. The upfront fee will be the same as the GBP pricing in the TransferWise app. So for most routes its 0.5 percent of the transfer amount, or a minimum fee of £2 for transactions under £400.
“TransferWise is about making it fast, low cost and convenient for people to send money abroad, and Starling Bank shares that commitment to giving people access to fair prices that let them move their money as they choose," said Scott Miller, head of partnerships at TransferWise, said.
"People will now be able to send money internationally using the real exchange rate and knowing upfront what the costs will be, all within their current account. That's a real first for British consumers."
Miller added that the deal with Starling Bank highlights how the fintech’s API can be used to integrate it into any UK or EU bank and business payment system. Starling Bank accesses the same API that TransferWise’s business customers use to make thousands of monthly international and domestic payments.
"It’s an incredibly versatile solution for businesses,” he added.
Other API integrations announced by TransferWise in recent years include Estonia’s LHV Bank and N26.