Many employees in South Africa aren’t born here and a lot of them send stacks of cash back home. It’s a common story that African workers head overseas to earn money for their families, and it’s reckoned that around $190billion a year is remitted from outside the continent through formal and informal channels. Zimbabwe receives about a billion dollars-worth of remittances from ex-pats in the UK and US alone.
But transferring cash is both expensive and not always easy. Which is why SimbaPay’s latest announcement pricks our ears: it’s just increased its transfer limit from $3 000 per transaction to $45 000. And removed fees for Africans sending money back from Europe too.
“A pain point for customers in the past has been having to undertake multiple transfers to complete a single purchase. A key risk with multiple transfers was exchange rate fluctuation. Sending up to $45,000 with just our mobile app will protect senders from the fluctuation that arises when one splits up the transfer,” explained Victor Karanja, Head of Operations at SimbaPay.
It is not only people who come to South Africa who transfer money back home, but many Africans who work in Europe. By increasing the limit, it makes buying property, vehicles and paying large hospital bills or university fees simple through the SimbaPay app.
To sweeten the deal a bit, SimbaPay explained that SimbaPay money transfers of more than $3 000 will also automatically qualify for the daily SimbaPay /Discounted Exchange Rates, which means users get to transfer money at a more favourable exchange rate.
“What further sets SimbaPay apart from other money transfer services is that the App can do more than just send money directly to mobile money services such as M-Pesa. SimbaPay can also send money to bank accounts in Africa and to Pay Bill merchants such as schools and utility companies,” Karanja concluded.
[Image – CC by 2.0/Frank Grießhammer]