It’s getting a bit easier to send money to loved ones outside of Canada.
PayPal has launched Xoom in Canada, an international digital money transfer service. Through the service, Canadians can now send money to more than 130 countries across the globe, enabling users to pay bills or reload phones for relatives outside of Canada.
Xoom will have a large impact for many, as nearly 20 per cent of citizens were born outside the country and Canadians send nearly $24 billion internationally each year. Canada makes up only a fraction of the global remittance industry, which is worth $600 billion, with China, India, and the Philippines as the top three receiving countries.
While traditional methods of international money transfer exist in Canada (such as TransferWise), Xoom offers lower remittance costs and more flexibility than most services. Working with reputable banks around the world, Xoom boasts remittance costs of 3.93 percent, close to half the cost of other services.
“The traditional methods of sending money abroad are slow, expensive and stressful for both the sender and the receiver. Senders are often faced with worry about when, or if, their money will reach their loved ones,” said Xoom’s VP Julian King. “As a disruptive digital remittance provider, Xoom is helping to eliminate these inconveniences so it’s fast and easy for Canadians to send money abroad for cash pickups, bank deposits, reloading prepaid phones and paying bills for loved ones back home–all from the comfort of their homes or from their mobile devices.”
PayPal has over 6.5 million Canadian users and has been active in the country for over a decade, who will now have automatic access to Xoom using their PayPal login credentials. Customers can send up to $12,500 in a single transfer, choose from multiple methods of delivery, and track their money until it arrives safely.
The money-transfer company has been taking strides to increase its presence over the last two years, enabling money transfers through Facebook Messenger as well as Skype and working with Canada Post to enable new shipping solutions for SMBs.