XOOM, a PayPal service and leading digital money transfer provider, has announced the launching of a new feature for remittance beneficiaries in 29 countries across Latin America, Europe and Asia, including the Philippines.
Xoom, in a statement said that for the first time, users outside of the US can use PayPal to easily send a "request" to their loved ones in the US for a money transfer, bill payment or a mobile reload.
Xoom’s new "request" feature offers Filipino beneficiaries a single digital tool to control the frequency and form in which they receive funds that are often used for necessities like food, utilities or healthcare expenses.
This new service is now available just in time for the busy Christmas season, which traditionally sees the highest number of remittances made by overseas Filipinos to their families.
Sending a request is free and it takes just a few easy steps and
the beneficiaries can make requests 24/7 on the web from any mobile phone, tablet or personal computer.
Xoom said that according to a 2016 report by the Central Bank of the Philippines, personal remittances from Overseas Filipino Workers have reached US$7.2 billion in the first quarter of this year, which is higher by 4.3 percent as compared to the same period in 2015.
The steady demand for overseas workers remained a key driver to the growth of remittance inflows. It is estimated that over 2.4 million overseas workers are deployed all over the world who send cash remittances to their families.
Remittances from the United States is the highest for 2016, totaling to US$6,596,432 from January to September 3.
Remittances are often the first experience of a financial service for beneficiaries, and can serve as a gateway to financial inclusion.
These transactions could be better served by online platforms that enable direct remote payments for cash remittances.
“We want to facilitate the cross-border exchange of money for both senders and beneficiaries all over the world,” said John Kunze, Vice President at Xoom, adding that “traditionally, the remittances industry has been served by systems that are inefficient and leave the onus primarily on senders.”
Xoom said that with the new feature, control is in the hands of remittance beneficiaries who now have a central digital service to manage this line of financial support that is so critical to their daily lives.
Aside from requesting money, Filipino Xoom users can also easily request for reloads for Globe, Smart and Sun prepaid mobile phones and bills payment for PLDT and Smart post-paid mobile phones.