Spanish banking group, Santander has launched PagoFX, an app that lets customers transfer money abroad.

The new service is delivered via a mobile app that will let UK debit cardholders from any bank send money abroad using real-time exchange rates.

Reuters has reported that the launch is being seen as a response to increased competition from fintech startups including PayPal and TransferWise which offer low-cost ways to make foreign exchange transfers.

In addition to the launch, the bank has announced that PagoFX will be introduced with zero fees on transfers up to £3K for two months in response to the COVID-19 outbreak.

Speaking via the PagoFX website, CEO, Cedric Menager said that the “emergence of FinTechs has seen huge improvements in user experience and new technologies disrupting the market.”

The aim of the new app is to combine “the trust and safety of a global bank together with the ease and affordability of a FinTech”, continues Menager.