How many ways can you transfer money using the Internet? The ways that come to mind include making credit card payments and PayPal. I’m not considering here online banking where funds can be transferred between my own accounts. There are probably more ways, but my mind goes blank for more.
Typical credit card fees are around 3%. PayPal 2.9% plus 30 cents per transaction. This becomes an expensive way of doing business.
Now, a young startup company is out to change that. Dwolla, based in Des Moines, IA is charging a mere 25 cents per transaction. The charge is the same no matter the amount of money transferred.
Dwolla is currently on track to transferring $350 million this next year.