International Remittance Program World Council of Credit Unions (WOCCU), along with its providers, strives to assist credit unions in reaching emerging markets (i.e., immigrant population) by providing credit unions with safe and affordable money transfer products and technologies. By offering high-demand remittance products, credit unions are able to attract and effectively serve potential members in this evolving financial marketplace. The combined expertise of our money transfer partners and WOCCU’s credit union knowledge results in customized solutions, better service to emerging markets, an expansive network with convenient points of service, tailored products to attract new members and the ability to go above and beyond by offering other financial products and services to attract new members into the financial mainstream. The program was developed in response to credit union members and potential members’ demand for money transfer services and to counter the exorbitant fees being charged to use these services. By offering strategic relationships that provide the best overall value for quality products at more competitive prices than what your credit union could negotiate individually, your credit union is well positioned to effectively compete in this vast market with great potential. Through WOCCU’s strategic alliances, credit unions in the United States may provide the international money transfer product of Vigo Remittance Corporation. In addition, credit unions may offer Vigo’s domestic money transfer product to potential members that are currently unbanked and therefore can not use typical wire transfer services. Credit unions outside of the United States may offer the products of MoneyGram, Coinstar Money Transfer and Vigo.
WOCCU’s international remittance program is not limited to credit union-to-credit union transfers. As a result, people have the option of making a transfer from a credit union to a credit union, from a credit union to a non-credit union (i.e., retail outlet serving as a money transfer outlet), or from a non-credit union to a credit union. The current overall network provides service to countries in Latin America, Asia, Africa, Europe and Australia. By offering access to remittance services, credit unions around the world are able to serve unbanked and underserved populations, providing access to additional financial products and services, which may ultimately help them improve their lives. Remittances – A Transactional Financial Service in High Demand As the foreign-born population in the United States continues to rise, so does the need for access to safe and affordable financial services--including remittances. Over the past few years there has been a tremendous growth in money transfers, especially to Latin America and the Caribbean (LAC). According to the Inter-American Development Bank, remittances totaling $53.6 billion were sent to LAC in 2005 of which over $20 billion went to Mexico alone. For many countries, remittances have become a highly dependable source of household income and often a significant percentage of the country’s Gross National Product. For the family and friends back home, these funds are vital to help cover the costs of food, housing, education, new businesses and save for the future. WOCCU’s program provides a safe, rapid and economical means for credit union members and potential members to send and receive these funds. Advantages
Credit unions as agents/payers: Unlike other remittance providers operating out of convenience stores or check cashing outlets, credit unions offer core financial services such as savings and checking accounts, loans, educational seminars, etc., in addition to remittances. Credit unions in the United States are also regulated and insured financial institutions.
Lower fees and disclosure of exchange rate: For as little as US$10, credit union members and potential members can send up to US$1,000 to Mexico. Senders are guaranteed the rate of exchange and informed of the amount the beneficiary will receive at the time of the transfer.
No fee to the beneficiary: The beneficiary abroad will not be charged any fee for receiving transfers.
|