- Western Union and Beforepay announced a partnership that will enable Australians to pay for money transfers in installments after the money has been sent.
- Called Send Now, Pay Later, the tool enables users to borrow around $1,400 (AUD $2,000) and repay in installments over a short period of time.
- 44% of Australia’s consumers said they would like an option to Send Now, Pay Later.
Global money transfer company Western Union is teaming up with payment innovator Beforepay to offer its Australia-based customers a short-term loan option. Dubbed Send Now, Pay Later, the tool leverages Beforepay’s wage-advance product to enable users to borrow up to around $1,400 (AUD $2,000) via Western Union’s digital channels.
Registration for the new service takes “minutes” and users can repay the amount in multiple installments. Western Union is hoping the new capability will enable Australia users to increase the amount of their money transfers. The company reports that 44% of Australia’s consumers said they would like an option to Send Now, Pay Later.
“We are committed to supporting our customers and their communities by offering financial services that are accessible, ethical, and reliable,” said Western Union Regional Vice President of Australia, New Zealand, and the Pacific Islands Gregory Laurent. “Western Union’s mission is to make financial services accessible to people everywhere. Our collaboration with Beforepay is another step towards achieving this mission – giving customers the opportunity to access additional funds as they send money to families and communities. We are excited about the positive impact it can have for consumers, as they proactively look for convenient options to meet their financial needs.”
Western Union was founded in 1851 and is one of the oldest cross-border money transfer pioneers. The company enables users to send international money transfers in more than 130 currencies to over 200 countries and territories. Last August, Western Union expanded its partnership with Visa to bring Visa Direct to its U.S. clients.
With 750,000 registered users, Beforepay offers a wage advance product that extends small dollar loans over a short period of time. The company charges a 5% fee for its flagship product, but does not charge interest, late fees, or penalty fees. The average Beforepay advance totals $275 (AUD $400), and is repaid in an average of three to four weeks.
“We’re excited to collaborate with Western Union to support their customers with access to safe, affordable short-term lending,” said Beforepay CEO Jamie Twiss. “Beforepay and Western Union share a vision of providing inclusive financial services to aspiring consumers around the world.”