A new report from FXcompared has shown that the top 20 non-bank money transfer providers are taking a significant slice of the money transfer volume traditionally corned by banks and a few key providers. Furthermore, according to the data compiled by FXcompared the new business models and resulting savings have saved customers over £900 million ($1.375 billion) annually.
Commenting on the results, FXcompared managing director, Daniel Webber said,
“The FXcompared IMTI will provide greater transparency for a fast-changing, growing industry that is experiencing big technology shifts as non-bank providers become more prominent. As the international money transfer market continues to change, this type of data will support the market’s development and help banks, non-bank providers and customers better understand the industry and make more informed decisions about moving money overseas.”
With companies like Transferwise, WorldFirst and many others investing significantly in marketing it would be appear that the investment has paid off and customers are increasingly turning to these new entrants rather than turning to the traditional banks for their money transfer services.
Overview by Tristan Hugo-Webb, Associate Director, Global Payments Advisory Service at Mercator Advisory Group
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