Atlantic Money, a London-based low-cost money transfer service, has also secured an additional injection of $3M seed capital to accelerate its growth having recently received its EU licence.
The additional funding was led by Amplo and included Nordstar and former Lazada executive, Martell Hardenberg. This is in addition to $4.5M in initial seed funding from investors including Index Ventures, Ribbit & Kleiner Perkins.
Besides funding announcement, Atlantic Money is now available to everyone in the UK.
From now, people in the UK can transfer up to £1,000,000 abroad for a fixed fee of £3 and at the interbank mid-market rate with no foreign exchange (FX) mark-up.
Flat fixed fee
Atlantic Money says that a fixed flat fee of £3 undercuts incumbent money transfer providers and saves customers 75% compared to the nearest priced competitors like Wise and 99% compared to other providers like PayPal and Western Union.
To use the platform, users simply need to download the app, go through a one-minute verification process, and can immediately begin transferring money.
Users can select standard delivery or opt for express delivery for a small fee of 0.05%. At present, the platform supports nine currencies, including USD, EUR, AUD, CAD, SEK, NOK, DKK, PLN, and CZK.
The app will be available for EU residents in the coming months.
Patrick Kavanagh, Co-Founder of Atlantic Money, says, “The previous generation of challengers like Revolut and Wise disrupted the banks, bringing better technology and lower fees. But they have since lost focus and abandoned the very product that made them great in a quest to build the next ‘super app’. We are disassembling this approach by being laser-focused on doing one thing better than anyone else – getting people’s money from one currency and country to another, as efficiently as possible. We are grateful to our current and new investors for their continued support and excited to provide our UK customers with a best-in-class customer experience and unmatched cost savings.”
Low-cost money transfer
Founded by Neeraj Baid and Patrick Kavanagh in 2021, Atlantic Money is authorised and regulated as a payment institution by the Financial Conduct Authority (FCA) in England and Wales. Atlantic Money NV is also authorised and regulated as a payment institution by the National Bank of Belgium.
Neeraj Baid, Co-Founder of Atlantic Money, says, “Large financial institutions move unlimited money around the world at effectively zero cost and secure the live exchange rate by working directly with one another. Meanwhile, retail customers are charged progressive fees and unjustifiable exchange rates. We are democratizing pricing previously reserved for the banks and drastically cutting the cost of larger transfers by up to 99% lower than all other money transfer companies.”
He adds, “We are already seeing some fascinating use cases and delivering substantial cost savings for our customers. For example, a customer recently purchased a property in mainland Europe and sent the equivalent of €200,000 from the UK – they saved 98% compared to Wise.”
Atlantic Money customer, Gray Stern, says, “The new Atlantic Money app is a seamless way to send money abroad. It cost me just £3.37p to send €850 instantly (£3 for the standard) saving me between £10-15 vs the same transfer on my Revolut app. Looking forward to using Atlantic for larger transfers moving forward.”