Equity Bank Chief Executive Officer James Mwangi says the solution dubbed Equity Direct allows the sender – through www.equitydirect.co.ke – to send money from the UK o Kenya in 10 seconds with maximum amount of remittance charges at Sh478.5.
Mwangi says this will increase Diaspora remittances to Kenya due to the reduction of money transfer costs and reduction of time for the transfer.
“We are very excited that it means a reduction of money transfer costs that range at 13 percent to one percent and a delay of money remittance that range from three to five days to 10 seconds. The low costs and instant transfer will encourage Kenyans in the Diaspora to transfer more so we expect to see significant growth in Diaspora remittances to the country,” he said.
Mwangi says the bank targets to become the dominant channel in transferring Diaspora remittances to the country.
He said that the product that is only available in the UK for now will be available in all European countries in six months time.
“We are delighted to deliver such a convenient and transparent low cost remittances solution which results in more money arriving to Kenya from the UK faster and easily,” he said.
Transaction fees start at Sh119 with a maximum fee of Sh478.5 with no deductions or charges on arrival at the Equity Bank Account.
“You do not need to be an Equity Bank customer to send money from the UK but the recipient needs to maintain an account at Equity Bank,” Mwangi explained.
For you to get an Equity Direct account, you will need to be a UK resident with a debit card issued by a UK bank.
All transaction fees are paid by the sender with minimum transaction size is about Sh119 and maximum transaction size is Sh298,000 by Debit card and Sh1.1 million by bank transfer.
Last year, Kenya received Sh13 billion in Diaspora remittances.
The bank is currently controlling 16 percent of all Diaspora remittances and is working towards scaling it to 30 percent by the end of 2014.