Paysend and Mastercard have joined forces to introduce Paysend Libre in Mexico, aiming to boost financial inclusion in a region where a large portion of the population remains underbanked or unbanked. Powered by a virtual Paysend Mastercard, Paysend Libre offers a secure, easy-to-use, and convenient solution for receiving remittances.
This launch leverages the combined expertise of Mastercard’s extensive acceptance network and Paysend’s powerful digital remittance platform, simplifying money transfers between Latin America and the USA.
Paysend Libre is the first to market with its unique solution to the old problems of speed, affordability, and security in remittance services. Paysend Libre allows the sender to initiate the transfer with just the phone number of the recipient by choosing the “Libre” option in the Paysend App. The process, which is zero-fee, generates a virtual Paysend Mastercard to act as a financial tool for recipients who lack a bank account or card. The recipient can directly access the funds received on the virtual Paysend Mastercard and securely spend the funds in real time. Remittances could not be easier especially for the many that still collect their remittances in cash. “Paysend and Mastercard are doing something never done before,” says Jairo Riveros, Group Head of Strategy and MD of the Americas at Paysend. He continues, “Through Paysend Libre we are using remittances as a vector for widening financial inclusion, bringing more and more people into the financial ecosystem who were previously ignored by fintechs and financial institutions.”
“As people increasingly favour digital solutions to send money quickly and securely, we are committed to working with partners like Paysend, who share a drive for payment innovations that also advance financial inclusion,” said Kiki del Valle, Division President, Mastercard North. “With a Mastercard virtual card, people will be able to instantly participate in the digital economy, quickly accessing the funds they need and make payments at more than the 100 million merchant locations worldwide that accept Mastercard.”
Paysend Libre leverages Mastercard Move’s money movement capabilities. Mastercard Move enables people and organizations to move money quickly and safely, both domestically and internationally, across more than 180 countries and in over 150 currencies, with access to more than 95 percent of the world’s banked population.
The societal and economic significance of Paysend Libre will be enormous. Remittances to LATAM (Latin America) serve as a safety net for millions and immigrants are a lifeline for their loved ones back home, many of whom still rely on cash. In Latin America and the Caribbean, 70% of the population are unbanked or underbanked (according to the Interledger Foundation), while living in some of the largest recipient countries for remittances. In particular, the USA to Mexico corridor remains one of the largest remittance corridors in the world, with $65 billion being sent just in 2023, primarily in cash. After piloting Paysend Libre in Guatemala and other countries previously, the launch in Mexico will continue to build on access to this important remittance corridor.
Last month, Mastercard and Paysend partnered with Mexican footballer Héctor Herrera and actor Cristo Fernández, best known as Dani Rojas of “Ted Lasso,” highlighting small businesses as part of Mastercard’s sponsorship of the CONMEBOL Copa América football tournament. The campaign featured Mexican seafood cantina Mariscos Playa Hermosa from Phoenix, Arizona, of which the Maldonado family leveraged Mastercard’s and Paysend’s cross-border capabilities to demonstrate how to send money back home to Mexico. Paysend is taking a lead in financial inclusion throughout the LATAM (Latin American) Region with the launch of Paysend Libre in Mexico. In partnership with Mastercard, Paysend Libre is set to widen economic opportunity in the region.