SOCASH, a Singapore-based fintech startup, today announced its’ foray into the foreign exchange market with plans of a global partnership with JCB Co., Ltd., the international payment brand and dominant card issuer and acquirer in Japan. This collaboration is an initiative to offer cardless cash withdrawal services at highly competitive FX rates, eliminating chances of extreme withdrawal fees at ATMs. The planned service will add convenience and safety for Japanese tourists visiting popular locations in Southeast Asian countries, which have very low card penetration and high card fraud risks. Together, they plan to bring this service into effect after Spring 2020.
To use this service, consumers will need to initially register their credit card information on the SOCASH app, using their smartphones to withdraw cash without having to use their cards at multiple outlets and convenience stores. In order to eliminate the risk of card theft or skimming, JCB and SOCASH plan to incorporate best in class security measures including tokenization, a 2nd factor authentication method to ensure reliability and security for cardmembers while using the app.
Through this partnership, SOCASH aims to completely negate the risks involved in using ATMs while travelling overseas. This collaboration will also benefit travelers who are on the lookout for best foreign exchange rates as this service will offer low exchange rates compared to moneychangers.
SOCASH CEO, Hari said, “ASEAN tourism is growing exponentially. As travel patterns shift beyond popular cities, it’s often hard to find an ATM or a moneychanger. This partnership is set to add convenience for travelers and diversify our offerings as we move beyond the conventional foreign exchange services for adventurous people travelling far & wide.”
Since the launch of SOCASH services in March 2018, users have surpassed 130,000 among a population of 5.6 million and processed over 1.5 million transactions with 1,400 merchants in partnership. The company raised US$6 million in its latest series B funding round led by Glory Ltd in July, and is looking to scale up its penetration in ASEAN markets including Malaysia, Indonesia and Hong Kong.
