Mobile payment solutions company PayMate today announced its domestic money transfer service in collaboration with gold financing company Muthoot Finance Ltd.
The service is being launched initially at the branches of Muthoot Finance in Mumbai and Kochi, the branches that accept sender requests for now.
Muthoot Finance branches in the designated cities are authorised to initiate and fulfil domestic money transfers via PayMate Money Transfer.
Except the recipient, customers will not have to wait to open a bank account before transferring money, or form long queues outside financial institutions, PayMate said in a statement.
To initiate the process, customers must walk into a Muthoot Finance branch location and fill out a form.
After verification of the form details, the customer deposits the money to be transferred with the agent and receives an instant SMS containing a transfer code along with a confirmation of the deposit amount. Money is then transferred to the bank account of the recipient.
Domestic remittance within India is a largely under-serviced market that represents a huge potential for growth. With a large and ever-growing migrant population, estimated to be over 100 miilion, sending money home for family maintenance, bill payment, etc. is set for strong growth.