Tag Archives: mobile money transfer

Venmo, The New Way to Send Money

By Mohammed Waseem

We all know PayPal as a successful money transfer service, but do we know that they have an interesting mobile payments service? They have a mobile app of their own but its not about that; they have bought the mobile transfer app Venmo, which enables users to transfer money to their friends and family. They were previously acquired by Braintree for $26.2 million, and this time, PayPal acquired Braintree for $800 million.

PayPal is owned by eBay, which acquired the former in 2002. With all these acquisitions, eBay aims at accelerating its mobile payments revenue. In 2012, PayPal processed $14 billion in mobile payments.

Venmo appVenmo is an interesting app, which is fast, secure and reliable. Users can hold money in their Venmo account, which is their mobile wallet, or can pay using bank accounts or debit and credit cards. They aim to become as common as Visa, as far as payments are concerned, and as widely used as Facebook. In fact, a few people consider Venmo a combination of PayPal and Facebook. The app users are increasing at a rate of 15% every month. Venmo also offers solutions to business through the service called ‘Venmo Touch’. They charge businesses for each transaction.

Venmo allows users to exchange payments with their social circles via their smartphones. The app links the users’ Facebook friends and email contacts to their bank accounts for the purpose of transfers. Interestingly, friends who the users have opted to “trust” can automatically withdraw funds from their accounts. It also has an option to share expense details, where, expenses among friends can be viewed, if the users do not choose to set their expense activity to privet.

Users can send money via phone (i.e. text message), email or Facebook. Another interesting feature of the app is Venmo Nearby, which allows users to send money to those they are not friends with. This feature lets the users search for nearby Venmo users and send money to them. It uses Bluetooth and WiFi to search for users. This feature is available to iOS users and not yet to Android and Blackberry users.

Venmo payments can be cashed out into bank accounts overnight, but if the users choose not to cash out, the funds get accumulated in the mobile wallet – Venmo account. Most users can transfer up to $3000 every week. All transfers are free of charge, except when credit cards are used, in which case, 3% fee is applicable. Recipients are not charged any fee for receiving the money. The service is currently available, only in the US.

Venmo owners predict that people won’t be swiping cards in 2017, as mobile payments are projected to cross $90 billion. There are other apps like Google Wallet and PayPal itself, but they charge a fee, which puts them behind Venmo in competition.

Send and Receive Money Anywhere with Skrill

By Mohammed Waseem

Money transfer through the Internet is the new norm which is becoming a part of everyone’s lives. As entrepreneurs come up with products and services, competition is increasing. Skrill, formerly known as Moneybookers is a global player that allows payments to be made through the internet.

Based in the UK, they have offices throughout the rest of Europe and the USA. They have over 36 million users who use their service to send and receive money in 200 countries in 40 currencies. They have a wide range of payout options which number to over 100. Over 156,000 businesses including Skype, oDesk and eBay have chosen to use their services ranging from simple one-step integration to fully tailored payment solution.

Don't just sent it. Skrill iT.
Don’t just sent it. Skrill iT.

Skrill is accessible anywhere at any time and on any device. Users can send money instantly online with Skrill iT, which lets the sender send money to anyone with an email address in 200 countries and offers over 100 ways to withdraw or use the money. They also support transfers to the mobile wallets of the world leader in mobile payments, M-Pesa (in Kenya).

They say “Don’t just send it, Skrill iT”. This tagline seems to aim at revolutionizing money transfers just like Google revolutionized search. Anyone can send money in minutes and the recipient receives it instantly. In order to send money, users have to create an account with Skrill and register a way to pay. If the recipient does not have an account with Skrill, they are asked to create one, which takes no more than a minute and the money is available for them to withdraw. Withdrawal can be made in over 100 ways, which includes direct deposit into their bank account or Visa card or it can be accessed through their Skrill Prepaid card at over 1.9 million MasterCard ATMs worldwide.

The basic fee they charge is 1% of the transaction, capped at €10 maximum. Withdrawal charges may apply for the method chosen. Additionally, foreign exchange rates starting from 2.99% are applicable for sending to countries with a different currency. Paying at a shop or transferring funds with any merchant is free of charge. Senders can pay using a local bank or all major accepted payment methods including Visa, MasterCard and American Express.

Once the money has been sent, both sender and the receiver are notified by email and the receiver has 14 days to open their Skrill account and confirm receipt, failing which, the money and the fees are automatically credited back to the sender’s account.

Like I said, Skrill has the potential to revolutionize payments and they are already in the process by having over 36 million individuals and over 156,000 businesses on-board.