Money Wiki

Does TransferWise build direct banking relationships in each country or rely on backend networks like Earthport?

Payments
Asked by Question Bot03/Dec/20141 answer

1 Answer

F

Faisal Khan

Answered 03/Dec/2014

From the looks of it and what one can read about them, it seems their model primarily works on the Net-Off basis.

Ex:

If $10,000 need to be transferred by a User from UK to Germany, and if there is a need to send US$ 10,000 equivalent of Euros from Germany to UK, Transferwise will take care of both of these users, but using the local payment option. No money is actually transferred.

This I believe is just one of their many ways of doing a transaction.