Revolut Partners with French Cab Firm SnapCar
- 12.06.2018 10:47 am
Revolut, the digital banking alternative, has today announced their latest partnership with SnapCar, the ride-hailing B2B French leader, as the innovative fintech looks to take-on legacy payment infrastructure by providing instant automated payouts directly into SnapCar drivers’ accounts.
Until today, platforms like Snapcar used to collect ride fees from customers and pay drivers at the end of a week or fortnight through traditional payment systems, which results in further delays, particularly over weekends. This means it can take several days or weeks for suppliers to receive their money for services already provided, something which is often cited as a pain-point by those earning on a flexible basis or with tight cash-flow.
Revolut’s payment infrastructure seeks to mitigate this pain, by allowing drivers to get paid on-demand directly into their Revolut account. With a single click in the app, drivers will instantly receive their funds , with the added benefit of no fees or commission on any international transfers or spending.
The instant payment technology is facilitated by Revolut’s Open API, a recently-launched feature of its business accounts which is available to all users. The Open API allows Revolut customers to configure and automate banking operations to suit their business model - something legacy banks have not done in general.
The London-based fintech is also able to significantly reduce the cost to SnapCar of making these payouts. By avoiding legacy banking systems, Revolut’s technology is ushering in a new era of free and instant domestic and international payments.
Revolut recently raised an additional $250m in funding that will see the digital banking alternative increase its valuation 5x in less than a year to $1.7 billion - becoming one of the fastest tech companies in Europe to reach unicorn status.
London-based Revolut launched in July 2015 and has acquired over 2 million customers with their consumer service, which allows customers to open a current account in 60 seconds, spend abroad in over 150 currencies with no fees, hold and exchange 25 currencies in-app and send free domestic and international money transfers with the real exchange rate.
Nikolay Storonsky, Founder and CEO of Revolut said: “We’re delighted to team up with SnapCar, as we believe that we’re the perfect partner to allow them to provide their drivers with instant automated payouts directly into their accounts. We’re using technology to begin changing how instant payments are made, providing SnapCar with a new and improved way to pay their drivers, while giving SnapCar drivers the opportunity to work and get paid on a schedule that works for them.”
Yves Weisselberger, Founder and CEO of SnapCar said: “SnapCar is positioning itself as a platform aware of its social responsibility. Our first concern is to improve the drivers’ operating conditions, which we re-affirm that they must live decently and even of their work. It's amazing what teams can produce when they think outside the established schemas. Long months of work have been necessary to think, implement and introduce a radical change that breaks with years of practice of VTC platforms. For this we had to go for innovative solutions, without taboos and without fearing a negative impact on Snapcar’s cash, to obtain a positive result on that of its drivers. This is the kind of choice that recognizes business priorities.”