The Australian Competition and Consumer Commission (ACCC) has just published a report on how much time and money Australia residents would be saving with the use of non-banking International Money Transfers (IMT) services rather than using banks.
With an estimated value of A$21 billion (circa $14.3 billion) funds sent out of Australia to other countries between 2017 and 2018, ACCC predicted that about $102 million could have been saved on cross border transfers with the use of low cost IMT companies like InstaReM, a Ripple partner, which plays major role by offering one of the cheapest services.
During the above stated period, consumers sent funds through the big four banks in the country, using USD and GBP.
ACCC highlighted that customers who want to send money abroad via banks are faced with challenges like lack of transparency, high cost as well as longer duration.
However, the government of the country is also looking to slash the cost of international remittance by funding two price comparison websites; www.saverasia.com and www.sendmoneypacific.org to ensure effective live comparison rates.
A further investigating about the rate of foreign currency conversion (FX) services supply in Australia reveals that fresh participants (like InstaReM and Travelex) in the country’s remittance industry are offering better services.
Although, there have been reports of cases where non-banking IMT service companies have been deprived of banking services due to the anti-money laundering (AML) and counter-terrorism financing (CTF) laws in the country, ACCC is suggesting an uninterrupted growth for non-banking IMT suppliers.
As both Travelex and InstaReM are not creating huge competition for bank IMT suppliers in the country, ACCC affirmed that InstaReM offers cheaper services for smaller transfer than Travelex.
With the claims of been the leading international money transfer company in Southeast Asia, InstaReM is a partner of Ripple which uses RippleNet solution for crossborder remittance.
The Singaporean company offers one of the cheapest transfer services in Australia.
The San Fransisco based blockchain technology continues to make huge success in the remittance industry across the globe by partnering with a number of top banks and financial institutions.
About Australian Competition and Consumer Commission (ACCC)
The competition regulator ACCC is an independent Commonwealth statutory authority which exists to impose the Competition and Consumer Act 2010 and other legislations to promote trading for Australians.