Zepz Acquires Pomelo to Expand Beyond Remittances and Build Broader Financial Tools for Cross-Border Communities

Zepz, the London-based global payments and remittance group behind WorldRemit and Sendwave, has taken a major step in evolving its product strategy by acquiring Pomelo International, Inc., a San Francisco-based fintech specialising in credit building, cards and remittance-linked financial tools. This move signals Zepz’s intention to grow well beyond its core remittance business into a broader financial services platform tailored to the needs of cross-border customers and underserved communities.

While the terms of the deal have not been publicly disclosed, the strategic implications are clear: Zepz is positioning itself not just as a conduit for moving money across borders, but as a trusted financial partner capable of addressing long-standing gaps in credit access, payments, and everyday financial tools — particularly for migrants and families with financial relationships spanning multiple countries.

The Changing Face of Remittances: From Money Transfers to Financial Lives

Remittances — the billions of dollars sent each year by workers abroad to support loved ones — have long been a lifeline for millions. But for many users in emerging markets and underserved communities, their financial needs extend far beyond one-off transfers. Individuals often lack access to basic financial services such as credit, savings accounts, consumer credit histories, and tools that help them build financial stability. This is where Pomelo’s product proposition and Zepz’s ambition intersect.

Pomelo, founded in San Francisco, built a platform integrating consumer credit and global remittances tied to a credit card designed specifically for money transfer — giving users the ability to build credit as they remit and to access everyday payments tools in markets where traditional credit access is limited.

By acquiring Pomelo, Zepz is evolving its remit from facilitating one-way money flows to helping customers manage broader aspects of their financial lives — including building credit profiles, accessing lending and credit-linked products, and using card-based payment services that integrate with cross-border cash flows.

What Pomelo Brings to Zepz

Pomelo’s product suite is distinct in the remittance fintech landscape:

• Credit-Linked Remittance Product: A financial tool that merges international money transfer with credit building, helping users in cross-border communities establish credit histories.
• Card-Based Solutions: A credit card designed to support remittance access and everyday spending with rewards and low-cost transfer options.
• Consumer Credit and Lending Tools: Served through credit-focused products that help migrants and their families build financial profiles.

These features complement Zepz’s existing strengths in global payments and remittances, particularly through its established brands WorldRemit and Sendwave, which together operate across more than 130 countries and handle tens of millions of remittance transactions annually.

Strategic Rationale: From Payments to Financial Inclusivity

For Zepz, the acquisition represents a clear strategic shift:

1. Expand Product Scope Beyond Remittances
   By incorporating Pomelo’s credit and card products, Zepz can serve more of its users’ financial needs rather than just facilitating money movement. This enables deeper engagement and greater customer retention.
2. Support Long-Term Financial Prosperity
   Cross-border workers and their families often lack access to affordable credit in both sending and receiving markets. Pomelo’s credit tools provide pathways for financial inclusion, addressing gaps that are often overlooked by traditional providers.
3. Enhance Market Position in Key Regions
   The Philippines — where Pomelo has a strong presence — is one of Zepz’s core markets, making this acquisition a strategic reinforcement of its local footprint and customer base.
4. Broaden Revenue Streams
   Remittances alone are a competitive space with low margins; adding credit, lending, and card services opens new revenue lines and deeper customer relationships that go beyond transactional fees.

Zepz’s Vision: A Financial Platform for Cross-Border Lives

For many cross-border users, financial challenges include not only remitting money but also:

• Establishing and building credit histories — which are essential for accessing loans, housing, and formal banking services.
• Handling everyday transactions and payments — including local purchases and digital financial services that integrate with global financial flows.
• Accessing affordable lending and financial advice — often absent for low-income or migrant populations.

By combining Zepz’s global remittances network with Pomelo’s credit-focused fintech products, the enlarged group aims to create a holistic financial ecosystem that empowers users not just to send money, but to save, borrow, build credit and plan for future needs.

How the Integration Will Work

According to official statements, Pomelo’s existing product has been temporarily paused for customers while Zepz integrates its technology and capabilities into the wider product roadmap. This transition phase is expected to align Pomelo’s innovation with Zepz’s global infrastructure, regulatory frameworks and operational standards.

Pomelo’s team will be joining Zepz, bringing both product expertise and market knowledge to the enlarged company, while working to adapt and scale the credit-enabled offerings across target markets in the Global South.

Customer and Market Impact

For users — especially migrants sending money home — the acquisition could unlock:

• Easier access to credit and borrowing tools linked to real usage patterns rather than traditional underwriting.
• Financial products that reward everyday use and remittance activity with benefits like points, credit building and reduced fees.
• Expanded financial inclusion in regions where traditional credit systems remain limited.

Given that remittances continue to be a lifeline for millions — particularly in Asia and Africa — having access to financial tools that go beyond one-off money transfers can significantly influence personal financial stability and long-term economic opportunities.

Industry Context: Remittances + Financial Services

The remittance market has traditionally focused on speed and cost of transfers, but recent trends show a growing demand for integrated financial services. Fintech innovators are increasingly blending remittances with other financial tools such as savings, credit, and digital wallets — creating expanded value for customers.

This shift aligns with broader fintech trends where firms look to deepen product offerings and increase customer lifetime value by adding lending, insurance, and investment products alongside traditional payments and remittance services.

Challenges and Considerations

While the acquisition presents clear strategic value, integrating credit and lending products into a remittance-focused platform also brings challenges:

• Regulatory Compliance: Credit products are subject to broader financial regulations that differ across jurisdictions, requiring robust frameworks and compliance controls.
• Risk Management: Effective credit assessment and risk mitigation are essential to avoid defaults and ensure sustainability as lending scales.
• User Trust: Clear communication about product changes, credit terms and financial responsibilities will be critical to maintaining customer loyalty and confidence.

Conclusion: A New Chapter for Zepz and Pomelo

Zepz’s acquisition of Pomelo marks a strategic evolution from pure remittance services to comprehensive financial tools designed for cross-border communities and underserved customers. By integrating credit, lending and card services, Zepz is aiming to build a more inclusive and meaningful financial platform that enhances customers’ long-term financial stability and inclusion — not just their ability to move money.

This deal reinforces the broader fintech trend of reimagining remittances as part of a larger suite of financial services, creating new opportunities for innovation, growth and impact across emerging markets.

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