FAQ: Money Transfer & Remittances

• After we launch, can I increase the ACH limit to suit my client’s needs?
• Are B2B (Business to Business) transactions allowed? Can we make use of intermediate MNO’s?
• Are armored carriers allowed to pick up cash from Bitcoin ATM Operators and deposit it into their vault account and then transfer it over to our account?
• As the Operator Led participant, we can open an EUR IBAN account for processing transactions (which means we can access/install a payment application (provided by the EMI holder) for sending/tracking transactions). So when a customer agrees to use our service, they will send EUR to our IBAN account, is it correct?
• Can I Negotiate the Rates Offered by My Remittance-as-a-Service (RaaS) Provider?
• Can I initiate a transfer without having the money flow through a bank I own?
• Can I quickly hop on a call with you and learn how to setup a money transfer business?
• Can I send money to a third country like China or Europe?
• Can I use an aggregator on the Starter plan and use the aggregator to payout to multiple countries (more than the allowed number)?
• Can I use my own payment processor?
• Can a company registered in Barbados as a licensed MSB operate (send/receive money) from/in Florida?
• Can my company be incorporated outside the United States, even though the RaaS we want is from the US?
• Can the daily transaction limits be increased by increasing the reserves? If yes, how long does this process take?
• Can we fix the rate entirely throughout the chain till the beneficiary? What role does your company play in the FX rate fixing?
• Can we use PayPal, Square Cash, Venmo, Zelle, etc. to collect money?
• Can we use your RaaS offering for B2B?
• Can you connect us with the MSB in Southeast Asia in order to act as the MTO in our models?
• Do I have to hire staff for my money transfer business?
• Do aggregators have to be approved and if so, how long does that take?
• Do you provide a settlement wallet/account?
• Do you provide access to banking for Remittance-as-a-Service (RaaS)?
• Have you prepared the pricing for the UK/EU subscription? (including all cost components affecting the unit transaction costs?)
• How can there be fraud in the money transfer business? I don’t know about the business and want to know if it comes with some kind of chargeback or fraud protection for us.
• How competitive is the daily FX offering?
• How do I tell the payout partner in my beneficiary country to have a correspondent tie-up with the solution provider?
• How long does Remittance as a Service take to be up and running?
• How long does it take for funds to process for my clients?
• How many beneficiary countries can I have?
• How much does the Remittance-as-a-Service (RaaS) cost?
• How to do Money Transfer?
• I misunderstood the Operator-Led model. Can you please explain again?
• I will be happy to pay a bigger reserve or something like that if we can have the limits raised to 5K, as only WorldRemit and Western Union offer those limits and that is the kind of company I want to have in the future if everything goes well.
• If I have a starter package, how much do you think I need to have in my budget to have everything operative in the shortest amount of time? Please give me an estimate.
• If we are a licensed money transfer company with extensive agreements with the payout countries, will the principal license holder agree to sign an agreement with us?
• If we go for the Operator Led Model, are we qualified if we request to be connected to MSBs in Asia & other regions?
• In Remittance-as-a-Service (RaaS), will I just need to give you our branding and be ready to launch?
• In a correspondent tie-up, who sets the FX rate and who gains from it?
• In summary, there are 3 ways to enter the remittance market in the US, 1) obtaining your own licenses, 2) through an agreement with a company that has the licenses to operate (this is the way we currently work), and 3) operating a digital platform where the whole process is done by the MSB, and we never touch the funds. Is this correct?
• Is a License Necessary to Start a Money Transfer Business?
• Is approval by a solution provider (i.e. licensed financial institution) guaranteed?
• Is it possible to get the interbank (mid-market rate)?
• Is it possible to send money outside the USA?
• Is there a list of reasonable countries that we will get access to?
• Is there a special type of company we need to form in order to be able to do Remittance-as-a-Service?
• Is this proposal for a full suite of Neo Banking or just Remittance?
• On your website, it is mentioned, “e-Wallet solution (stored Value)- does not imply that a software wallet is provided. That is optional and comes under iOS & Android App or White-Label Website”. Can you please provide more details on this?
• RIA is competitively charging low fees, and the only way we could match up would be to find a payout partner with a good rate. Your solution is turnkey, which is good, but, we need visibility into the rate (assuming you will be assigning a payout partner to us) so that we could do some quick calculations before investing in your solution.
• Ria Money Transfer is beating the pricing structure you have listed on your website. This means I pay no more than $3-$4 when sending by bank account to India. What do you say about this?
• We have established a money transfer company in Canada and now we are looking for a bank in the US and want to be its Authorized Delegate in the USA for money transfer services.
• We noticed that the credit card processing is at 2.09% for the starter plan. Can we bring our own card processor if we have one?
• What are remittances and how do they contribute to the economy of the developing world?
• What are the Licensed MSB options we will affiliate with? (The ones who own the remittance platform, Compliance and Card/ACH Payment Gateway)
• What criteria distinguishes an MSB from an FMSB?
• What defines a RaaS (Remittance-as-a-Service) Provider, and how does it differ from a traditional money transfer company?
• What is Remittance-as-a-Service (RaaS)?
• What is the status of the UK-EU RAAS program rollout?
• What is the time frame to get approval from the solution provider?
• What is the timeline to send money out?
• Which payout countries are available currently?
• Who coined the term "Remittance-as-a-Service" or RaaS?
• Who coined the term Money Transfer-as-a-Service or MTaaS?
• Who is in charge of authorizing the transactions? Will it be me or someone else?
• Who sets the forex rate ? Is it the principal license holder or me as the business owner?
• Who will be in charge of ID verification process or KYC process? Will it be me or someone else?
• Why do I have to put up the pre-funding money?
• Will I have access to ACH transfers?
• Will the license holder assist us with the process, or do we have to consult some law firm, or your team? If we have to seek consultation, what is the additional cost of it (a rough number is fine)?
• With a US sponsored solution provider for Remittance-as-a-Service, would we also be able to use Europe as sending corridors?
• Would our company be an agent of the sponsor? I’ve read a lot of jargon about the agent relationship; could you please elaborate on this a bit.