Zapp, a money transfer service that operates through WhatsApp, has announced the expansion of its services to Guatemala, Honduras, El Salvador, and Nicaragua. This move allows Central American migrants in the United States to send money to family and friends back home directly through WhatsApp, without needing to visit a physical location or download a separate app.
Recipients in the new markets can choose to receive their money through either a direct bank deposit or cash pickup at a broad network of banks and retail locations. In Guatemala, more than 15,000 banks and payment locations are available, including G&T Continental, Banrural, Banco Industrial, Elektra, and Banco Azteca. Transfer fees for Guatemala are fixed at $4.74 for bank deposits and $5.74 for cash withdrawals for amounts between $5 and $2,999.
In Honduras, Zapp has partnered with over 8,000 bank deposit and cash withdrawal locations, such as Banco Atlántida, Ficohsa, BAC Credomatic, and Elektra. Fees for Honduras range from $5.99 for transfers up to $200 to $32.99 for transfers up to $3,000, with increases of approximately $1.00 for every additional $200.
El Salvador offers more than 6,000 bank branches and affiliated businesses, including Banco Agrícola, Banco Cuscatlán, Super Selectos, and Walmart. Fees for El Salvador start at $4.99 for bank deposits of $100-$150, with cash withdrawals incurring a $1.00 surcharge. For Nicaragua, Zapp provides access to more than 5,000 banks and businesses, including Banpro, Banco Lafise, and BAC Credomatic, with fees ranging from $5.99 for transfers up to $200 to $33.99 for transfers up to $3,000.
Zapp operates as an authorized agent of Spectrum Global Payment Solutions, Inc. (NMLS ID 937914), a licensed money transmitter in Central America. Every transaction is covered by a money-back guarantee. Zapp is not affiliated with Meta or WhatsApp; it simply uses WhatsApp as a communication channel.
This expansion is significant because it leverages the widespread use of WhatsApp among Latino communities to facilitate remittances, which are a vital source of income for many families in Central America. By simplifying the process and reducing the need for physical visits to money transfer agents, Zapp aims to make sending money more accessible and efficient. The company's competitive rates and extensive pickup networks in each country could potentially lower costs for migrants and their families.
