Sendwave launches Sendwave Pay for US-based migrants

Sendwave, a money transfer company owned by London-based fintech, Zepz, has introduced a banking product for migrants residing in the US. The firm will give its existing users access to an FDIC-insured checking account via a new service - Sendwave Pay.

Sendwave Pay’s launch

Sendwave, through a partnership with Piermont Bank, has launched Sendwave Pay largely targeting US-based migrants. The service, which will be available on the Sendwave app is to be rolled out in phases. Existing users who’ve made at least one transaction through the app are eligible. As for new customers, one will need to send a remittance to join the Sendwave Pay waitlist.

In a statement, the CEO of Sendwave’s parent company, Zepz, Mark Lenhard stated, “Sendwave Pay enables US-based migrants to take their money farther and creates financial empowerment through interest schemes and competitive benefits”.

Customers with a Sendwave Pay account will enjoy discounts on remittances among other perks. This includes exchange rate discounts of up to 0.4% as well as a 0.51% APY on the funds in one’s account. Customers will also get savings of up to 25% on transaction fees for remittances to Ghana, Tanzania, Kenya, Uganda, Liberia, and Nigeria when using funds in their Send Pay account.

While it has no minimum balance requirements or maintenance fees, the users may need to pay for ATM usage as well as overdraft and chargeback fees. As it stands, the applicability of overdraft fees is still in review.

The new offering comes about a month after Zepz, which also owns WorldRemit laid off 26% of its workforce. This was the firm’s second layoff in less than a year and was geared towards “workforce optimization”. Zepz reached profitability in the second half of 2022 and is striving to scale its business for long-term success.