Facebook relaunches WhatsApp money transfers in Brazil

[devikad]

Facebook relaunches WhatsApp money transfers in Brazil



Facebook's WhatsApp messaging service relaunched on Tuesday its transfer money services between individuals in Brazil, after it was blocked by the central bank nearly one year ago, Chief Executive Mark Zuckerberg said in a Tuesday video.

Brazil is the second country where the messaging service launched money transfers. In India, WhatsApp's biggest market with 400 million users, it got approval to start financial services in November.

By using debit or pre-paid cards numbers, WhatsApp's 120 million users in Brazil are able to send each other up to 5,000 reais per month through the messaging service free of charge. Initially, the system will not allow each transaction to surpass 1,000 reais or more than 20 transfers per day.

The roll out of the new feature will be phased, Chief Operating Officer Matthew Idema said in an interview. Starting today, a limited and undisclosed number of users will get a payment tool in their app. With that, they will be allowed to invite new users.

In June, WhatsApp had launched its payments services in Brazil, but the central bank suspended it some days later alleging it could damage the country's existing payments system in terms of competition, efficiency and data privacy.

In addition to reviewing the proposed payments network, the monetary authority also requested the technology giant be labeled as financial services company in Brazil, prompting Facebook to create a new unit called Facebook Pagamentos do Brasil, which is now regulated by the central bank.

But the central bank has not yet greenlit payments with merchants, which is expected to be a paid service, adding a new line of revenue for WhatsApp. Last year, card payments in Brazil totaled 2 trillion reais ($368.12 billion), up 8.2% from 2019.

Idema said talks with the central bank are still ongoing and Facebook expects the launch of merchant payments to occur this year, declining to comment on whether it will be a paid service.

"For WhatsApp launching payments is interesting because it increases the app usage," the COO said.

WhatsApp started its payment service in partnership with card networks Visa Inc and Mastercard and payments processor Cielo SA. It will operate with cards issued by Banco do Brasil SA, Banco Inter, Banco Bradesco SA, Itau Unibanco Holding SA, fintech Nubank, MercadoLibre's Mercado Pago and Sicredi.

Source: https://telecom.economictimes.indiatimes.com/news/facebook-relaunches-whatsapp-money-transfers-in-brazil/82398185

[ClarkWillson]

Although I have never personally used the WhatsApp money transfer function, I must admit that I should have known about it. It's interesting to see how WhatsApp is expanding its services, especially in countries like Brazil. The ability to send money to friends and family through the app seems like a convenient feature. I'll definitely keep an eye out for updates and maybe give it a try myself.

[bostavan123]

I know my reply is quite late, but I'd like to thank you for sharing! I think WhatsApp money transfer is definitely a profitable option for WhatsApp and Facebook users. However, I prefer to stick to using it solely for messaging rather than as a payment service. On another note, I wanted to mention that I recently started collaborating with a Facebook ads agency, and it has made a significant impact on my social presence and engagement. It's been really effective for the growth of my business. It's amazing how effective targeted advertising can be. Just thought I'd share that too!