Indus American Bank of Iselin, N.J., has agreed to use a remittance product from Xoom Corp. to offer money transfer services in the lucrative United States-to-India corridor.
Xoom, of San Francisco, announced the deal Monday. It said it has established 2000 pickup locations in India in three months on behalf of Indus America.
Indus America caters to South Asian immigrants in New Jersey, New York, and Connecticut.
Xoom is vying for a share of the $232 billion remittance market. In June it introduced a white-label remittance service for community banks. Xoom manages technology and distribution through the service; its partners are responsible for marketing and other branding costs.
India is one of the top three receiving nation for remittances, along with Mexico and the Philippines.
