Zapp, a money transfer service that operates through WhatsApp, announced the expansion of its services to Guatemala, Honduras, El Salvador, and Nicaragua. With this expansion, Central American migrants in the United States can now send money to family and friends back home directly through WhatsApp.
Recipients in the new markets can choose to receive their money through either a direct bank deposit or cash pickup at a broad network of banks and retail locations. In Guatemala, Zapp leverages more than 15,000 banks and payment locations, including G&T Continental, Banrural, Banco Industrial, Elektra, and Banco Azteca. Fees are structured based on transfer amount and method: bank deposits cost $4.74 for transfers from $5 to $2,999, while cash withdrawals cost $5.74 for the same range, with a fixed rate regardless of amount.
In Honduras, more than 8,000 bank deposit and cash withdrawal locations are available, including Banco Atlántida, Ficohsa, BAC Credomatic, and Elektra. Fees increase with transfer amount: $5.99 for $5 to $200, $13.99 for up to $1,000, and $32.99 for up to $3,000, with approximately $1.00 added for every additional $200. El Salvador offers more than 6,000 bank branches and affiliated businesses, such as Banco Agrícola, Banco Cuscatlán, Super Selectos, and Walmart. For transfers between $100 and $150, bank deposits cost $4.99 and cash withdrawals $5.99; for up to $500, fees are $9.99 and $10.99, respectively; and for up to $1,500, fees are $19.99 and $20.99. Cash withdrawals incur a $1.00 surcharge compared to bank deposits, with fees increasing by approximately $1.00 for every additional $50.
Nicaragua has more than 5,000 banks and businesses, including Banpro, Banco Lafise, and BAC Credomatic. Fees are $5.99 for transfers from $100 to $200, $14.99 for up to $1,000, and $33.99 for up to $3,000, with increases of about $1.00 for every additional $100. Zapp operates as an authorized agent of Spectrum Global Payment Solutions, Inc. (NMLS ID 937914), a licensed money transmitter in Central America. Every transaction is covered by a money-back guarantee.
This expansion addresses a critical need for affordable and accessible remittance services. According to the World Bank, remittances to Latin America and the Caribbean reached $156 billion in 2024, with Central America being a significant corridor. By integrating with WhatsApp, Zapp eliminates the need for separate apps or physical visits, potentially reducing costs and increasing convenience for millions of migrants. The service offers competitive exchange rates and transparent fee structures, which could pressure traditional money transfer operators to lower their fees.
Zapp is not affiliated with Meta or WhatsApp; it simply uses WhatsApp as a communication channel. The company's user-centric approach aims to transform the remittance industry to provide better service to Latin American families. With this expansion, Zapp now covers Mexico and four Central American countries, positioning itself as a key player in the digital remittance space.
