Revolut relies on PaySafe to facilitate cash deposits

British neo-bank Revolut has just introduced a new feature for its UK customers. Developed in partnership with online payment platform Paysafe, this feature takes the form of a cash deposit solution. It relies on a network of over 12,000 local partner outlets.

FACTS

• Revolut customers in the UK will now also be able to deposit cash into their Revolut account, via an outlet partnered by the neo-bank and its associate in the launch of this feature: Cash Deposit.
• Deposits can be made for amounts set between £10 and £500 per transaction, and up to an annual limit set at £10,000.
• Customer journey :
• Customers must open their Revolut application, click on “Add Money” on their home screen and select “Deposit Money”,
• They will then have to accept Paysafe's terms and conditions to open and authorize the sharing of their geolocation within the Revolut app,
• they will then be guided to the Revolut and Paysafe partner store, where they can generate a barcode for a limited time (30 minutes),
• This code can then be presented to partner retailers, who can scan it at the checkout to receive the Revolut customer's deposit,
• This deposit will then be credited to the customer's Revolut account within 10 minutes.
• The network of 12,000 UK Paysafe and Revolut partner outlets is set to be further expanded over the coming months, not only in the UK but also in other European countries (including France) where Revolut operates this service (fees and service limits vary from country to country).

CHALLENGES

• Filling a gap: This option enables Revolut to fill a gap in its local services and better serve its customers, especially those who prefer to use digital financial services on a daily basis but still need to process some cash transactions.
• Meeting identified expectations: Revolut uses research to justify the relevance of its new service in the UK. According to the online bank, 71% of its customers have deposited cash with a bank or other financial institution in the past year. And 34% of them would like to take advantage of a feature enabling them to deposit cash every month.
• New service, new income: The service is subject to a fee, set at 1.5% per deposit, applied to customers.

MARKET PERSPECTIVE

• Building on its expertise in digitizing cash payments, Paysafe had already established similar partnerships, such as with digital bank Monese to offer cash deposit options.
• The issue is all the more important in the UK, where cash usage was on the rise again last September, according to the annual report from UK Finance, the trade association for British banking businesses.