Banco Bilbao Vizcaya Argentaria, or more commonly known as BBVA Bank, has recently launched a mobile money transfer app named as “Tuyyo”. The app will allow people to remit money from the United States to Mexico. Available on both, iOS App Store and Google Play Store, the app focuses on increasing its brand awareness in the international money transfer market where the annual remittance from the United States to Caribbean and Latin America is around $ 73 billion.
For the initial phase, Tuyyo will only operate in between the US and Mexico as the average remittance by workers from US to Mexico is $1900/ year. Another consideration is the volume of transaction taking place between the two nations. Report suggest that around $27 billion flows between the two countries every year, one of the largest worldwide.
The transfer process under Tuyyo is instant. The receiver can withdraw money from any cash pick up location or with the aid of 11,000 Bancomer ATMs. Additionally, there is no requirement on the part of the receiver to either have a card or an account with the respective bank.
To make things personal and customized, Tuyyo allow users to send a personal message and a picture with the remittance. The data is shared either over SMS, email or Whatsapp. BBVA is also planning to enable video messages in near future.
BBVA also plans to include services such as micro-financing and insurance support to Tuyyo. This will allow users to settle their due instalments directly via app. Situation such as paying instalment of new TV or car will become easier. This reflects the evolving strategy of money transfer businesses to drive revenue growth by diversifying into new payment areas.
The app will not charge anything for the first transaction. Users will only be required to bear the foreign exchange rate. However, from the second-time onward user would be required to bear a service charge of $5.49 in addition to the foreign exchange rate.
As a recipient of funds, user who are using Tuyyo for the first time are required to visit a BBVA bank physically and verify their identity. Once they have received the card, they are free to withdraw the remittance at their own convenience from any Bancomer ATM.
Upon successful implementation of the plan, the service will expand to the rest of Latin America and Caribbean islands.
According to PayNxt360, Mexican International remittance market’s transaction value was US$ 738 million in 2016 and expected to reach US$ 48,373 million in 2021.
To know more and gain deeper understanding of mexican mobile remittance industry, click here.