KOHO Joins Interac e-Transfer Directly, Promising Faster Payment Features

Toronto-based fintech KOHO is now connecting directly to Interac e-Transfer as a participant, making it one of the first fintechs to join the network following a recent expansion that opened access to qualified payment service providers.

The move gives the Canadian fintech greater control over how it builds and delivers e-Transfer features to its users, rather than routing through a traditional bank as an intermediary. According to the two companies, the direct connection removes legacy constraints and should allow KOHO to roll out new payment features faster.

In a statement to iPhone in Canada on Tuesday, Interac President and CEO Jeremy Wilmot said the expansion is about giving Canadians more options. “By expanding access to our network, we are enabling more choice and innovation for consumers and businesses across the country,” he said.

KOHO CEO and founder Daniel Eberhard framed the partnership around outcomes for customers. “With Interac and Interac e-Transfer being so central to the Canadian financial experience, we were thrilled to collaborate with Interac to bring this experience to our users,” he said in a statement to iPhone in Canada.

Interac e-Transfer processed over 1.6 billion transactions last year, making it one of the most widely used payment rails in the country. KOHO joining as a direct participant puts it in rare company among non-bank financial providers with that level of access to the network.

Other fintechs that are direct participants with Interac e-Transfers include Wealthsimple, which was the first to join in 2023, and more recently, Calgary’s Neo Financial last month.

Last month, KOHO launched support for crypto trading through a partnership with NDAX for its 2.5 million users.