Facebook Messenger will launch money transfer to counter Snapchat

by bold-lichterman

Facebook Messenger will make it possible to send payments directly via the application, in the United States. The small “$” sign will direct users to a payment interface. The transaction will be done by entering an American bank card code (Mastercard or Visa) or by the TouchID system. The recipient will receive the money once they have filled in their own bank account. Until this is the case, Facebook will hold the money, until then.

This new feature is not yet available. It should be in a few months in the United States, for applications running on the Web, iOS and Android. As for the other countries, it is not yet clear whether the payment function will be available there and when. In the message published by the company, it is not specified whether a maximum amount will be defined. We remember, however, that Facebook had made a request for approval for a monetary service from the Central Bank of Ireland in 2014, so it could be that a European extension is considered.

Venmo and Square Cash already active on P2P money transfer

Snapchat app view

For the American firm, the objective is to keep the user as long as possible in the “Facebook” sphere and prevent him from having to leave the application and the network to carry out this type of transaction.

This is the first time that Facebook has made such a possibility available to individuals. In contrast, the network already handles millions of pecuniary transactions for advertisements and games. With this addition, it positions itself on the same ground as services already allowing the exchange of money in peer-to-peer mode such as Venmo or Square Cash, publicly launched across the Atlantic in October 2013. Facebook wants above all avoid leaving the way open to Snapchat, which has allied itself in Square in November and launched its own service mobile payment based on Square cash.

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