Remittance as a Service

Empire Global
2 min readFeb 13, 2021

What is Remittance as a Service?

Remittance as a Service or RaaS is a turnkey solution that will expand in 2021. RaaS is the all-in-one solution that allows entrepreneurs to launch an International money transfer service from one country to another, especially from a foreign nation to one’s nation of birth.

Remittance-As-A-Service provides:

  • Access to the US (domestic & international) peer-to-peer money transfer market
  • Legal cover for Money Transmitter Licenses
  • Banking arrangements
  • FBO (For Benefit Of) Pooled Accounts
  • On-Boarding (CIP/KYC)
  • AML/CTF, etc.
  • Payment Processing
  • Access to Payment Networks & Settlement
  • Access to Beneficiary Country Banks/MTOs
  • Option to BYOBB/BYOMTO (Bring-Your-Own Beneficiary Bank / Bring Your Own MTO)
  • FX Handling (Optional)
  • Infrastructure (Web/API), etc.

What are RaaS licenses?

There are two types of RaaS licensing: Domestic transactions (in 50 US states), secured as an FBO account International transactions

On domestic licensing, i.e. for peer-to-peer transactions between customers in all 50 U.S. states, we have a banking agent who provides FBO (consolidated) accounts. Your TOS will clearly mention that the customer is opening an account with a bank agent (who provides the FBO arrangement). Funds are issued at a licensed bank with a national charter. The banking agent gives instructions on how to handle the funds on your behalf, which the bank then executes. Instructions to the banking agent are provided via the API. The obligation for the funds is taken over by the bank itself so that at no time do you have any contact with the funds. The bank will only cover US transactions.

Concerning international transactions, it must first be understood that when funds leave a pooled account to go abroad, the authorized entity must be responsible for the liability and delivery of the funds. Bank coverage ceases at this time. Licensed MSBs then take ownership of the assets from the pooled account (and associated responsibilities) for further settlement. Funds are only released to the associated bank / medium-term operating body in the beneficiary country when they have replenished the money to the end-user and confirmed the delivery of transactions.

What is RaaS fee?

Different rates vary from package to package and Provider.

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Empire Global

Global Professional Consultancy Services Firm providing an array of specialized services to clients from all around the world. https://empireglobal.partners/