Canadian Fintech Aims to Disrupt Money Transfer Industry and Save Canadians Millions

Canadian Fintech Aims to Disrupt Money Transfer Industry and Save Canadians Millions

Vancouver, BC (September 20, 2016) – This October, a new Canadian player will enter the online global money transfer industry. Unlike banks and conventional money transfer services, VoPay is an online platform that securely facilitates cross-border, peer-to-peer money transfers at a fraction of what banks and other money transfer companies charge.

“VoPay is set to disrupt the money transfer landscape by serving both the banked and under-banked customer through our easy to use mobile app or website,” explains former telecom executive and VoPay CEO and Founder, Hamed Arbabioon.

By connecting people to real currency exchange rates with no markups, charging no hidden fees and using innovative technology to facilitate to the process, VoPay is responding to gaps left by an inadequate, antiquated industry.

“Banks are one of the few dinosaur industries left to reshape - it’s time to evolve,” says Arbabioon. “Over the past decade we have seen the disruption of several industries by technology-based companies that are taking advantage of tools like the Internet and smartphones - companies like Uber reshaping the taxi industry, or AirBnB changing how we travel, the list goes on and on. One area we’ve yet to see major changes in is finance and banking.”

Financial technology (fintech) companies like VoPay are moving in on traditional financial service providers and expanding access to a range of products and services that were once almost exclusively the domain of big banks. When successful, fintechs have the potential to offer consumers access to seamless, cost-effective services for all their financial needs, including money transfers.

“There are so many things wrong with the current remittance landscape in Canada,” says Arbabioon on the need to create VoPay.

According to the World Bank but unknown to most Canadians, major banks and traditional money transfer services mark up their currency by 5% to 8% and charge service fees of up to $40 per transaction.

“Canadians are frustrated with unfair exchange rates, transaction fees and other hidden charges,” says Arbabioon. “We’re also fed up with the limited options for sending and receiving money and having to wait in long lines to make a simple money transfer. The service can and should be better.”

Unlike banks and other money transfer services, VoPay does not mark up currency rates, explains Arbabioon. Instead, VoPay gives users access to the mid-market rate, a rate that is commonly reserved for banks and currency traders. Know as the real rate, the mid-market or interbank rate is the most transparent currency exchange rate available.

With access to the best exchange rates, and minimal service fees (as low as 1% on each transaction), Arbabioon estimates that VoPay will save Canadians between 5% and 8% per transaction.

“Given that $25 billion leaves Canada via global money transfers each year, VoPay has the potential to save Canadians billions of dollars annually,” says Arbabioon. “This is a win-win for the Canadian economy and consumers alike.”

Beyond giving consumers access to the best rates and low service fees, VoPay also provides people with ultimate flexibility in how they send money. VoPay currently gives users access to over 50 currencies in 150 countries. Customers are also able to fund transactions through their local bank account, a credit or debit card, or cash voucher. On the other end of the transaction, money can be received by mobile money, bank deposit, cash pickup or airtime top up.

“Our goal is to make the money transfer process effortless and help people save time and money,” says Arbabioon.

VoPay’s money transfer service will launch this fall.

VoPay is an online money transfer platform. By giving people access to the mid-market exchange rate, charging no hidden fees and using innovative technology to facilitate to the process, VoPay makes cross-border money transfers effortless.