Frequently Answered Questions (FAQs) – RaaS Canada

Do I have to have a License to use the Remittance as a Service?

No you do not have to have a license to use the Remittance as a Service offering for the origination of funds from Canada. Our Solution provider will provide you with licensing coverage as they are licensed with Fintrac for all provinces in Canada as well as  Quebec.

If I am licensed as an MSB can I take custody of fundsCustody of Funds ?

No. Even if you are licensed as an MSB  with Fintrac in Canada you cannot take custody of funds under our Remittance as a Service offering as it is a White Label offering the processing and compliance are handled by the principal license holder (PLH) that is sponsoring you. You will be working under our solution provider’s license. You will in essence be working as an Independent Sales Organisation (ISO). Legally the solution provider will own the client.

Do I have to use your payout partners or can I use my own payout partner in the country where the funds are being remitted?

Yes, you can bring your own licensed payout partner, however, due diligence needs to be conducted and a correspondent tie-up would be necessary. 

Who sets the FX rate?

The payout partner.

Can we set up our own FX rate (add-on to payout partner’s rate)?

Yes

Can you send money to a 3rd Country (like China or Europe, etc.)?

Yes, provided the correspondent in the tie-up country is able to show proof of delivery of funds. We can then send money to an account anywhere in the world, but it MUST be in the correspondent’s name.

Can we negotiate the monthly commitment and other fees with the Solution Provider?

You can, but we doubt if they will reduce their fees. The fees have been designed to make the offering very competitive.

If I have developed my own web platform and mobile app do I get a discount?

We have different pricing for both web and mobile apps (both set up and monthly platform maintenance fees. If you bring your own platform the Solution Provider will provide the APIs.

How many countries can I make out payouts to?

Initially, you can make payouts in 5 countries. More countries can be added after 90 days for no additional cost subject to the approval of the Solution Provider

What is my One-time Setup cost and what is my monthly cost?

Please see this link to see your monthly cost and One-time Set up cost

What is a “Minimum Monthly Commitment Fee”?

The Minimum Monthly Commitment Fee is US$1,000 ( consider this the minimum business you are guaranteeing the Solution provider in terms of transaction cost)

What is the minimum contract period?

The Solution Provider we work with requires at least a one-year contract. If you decide to cancel the contract before the year, you would still be responsible for the monthly commitment fee for the remaining months.

This page was last updated on February 2, 2022.