Definitions of remittance, fintech, and digital-dollar terms
An ATM fee is the charge for withdrawing cash from a cash machine, and using one outside your own bank's network can add a second fee on top of the first.
Banxico, the common name for Banco de México, is Mexico's central bank. It issues pesos, sets monetary policy, and operates SPEI, the country's interbank payment system.
Cash pickup is a remittance payout method where the recipient collects physical cash from an agent location using a reference number and ID, instead of a bank deposit.
CEP is the official electronic receipt Banco de México issues to confirm a completed SPEI transfer between Mexican banks.
CLABE is the 18-digit standardized number that identifies one specific account at one specific bank in Mexico, used to route SPEI transfers, direct debit, and payroll.
CNBV is Mexico's banking and securities regulator, overseeing banks, securities firms, and other financial institutions to keep the system stable and transparent.
CoDi is Banco de México's free QR- and NFC-based payment platform that triggers instant SPEI transfers between Mexican bank accounts.
Dynamic currency conversion (DCC) is a merchant or ATM offer to bill a card in its home currency instead of the local one, usually at a worse rate than the card network's own conversion.
FX spread is the gap between the market reference exchange rate and the rate a provider actually applies to a transfer, and it can hide a real cost behind a low or zero advertised fee.
KYC (Know Your Customer) is the identity-verification process financial apps and banks must complete before a user can send, receive, or hold money.
A remittance is money sent, usually across a border, from one person to another individual — most often wages a migrant worker sends home to family.
A remittance corridor is the sending-country-to-receiving-country pathway a cross-border transfer travels through, and its cost and options vary corridor by corridor.
SPEI is Banco de México's real-time interbank transfer system for Mexican pesos.
Two-factor authentication (2FA) requires two different proofs of identity before an account can be accessed, so a stolen password alone is not enough to get in.
