Issues with Mistertango?

[Aleksandr Prilepa]

Hey! Looking to setup a Mistertango account. For the guys and gals who've used Mistertango for a while - have you run into any issues with them? (eg. funds frozen, can't withdraw etc.)

Overall they seem ok but their support (at least via email) is pretty slow and initially I was put off by the €20000 annual deposit limit although I now heard back from them that this can be raised up €100k etc. if I send in some form and a utility bill.

Thanks!

 

[Martin Everson]

Not had any issues although I am a light user of them.

 

[JohnLocke]

have been using them for 3 - 4 months no problems so far.

 

[Internationaloff]

I'm using Mistertango (Business) without problems.

 

[Aleksandr Prilepa]

Thank you guys for your responses. Moving forward with Mistertango

 

[void]

I'm a user for more than a year. Deposited (and also withdrawn) much more than 20k without any restrictions.
Cheapest and easies solution among many EMIs I use. Same experience of people around me.
I only wonder what they live from and how long this can last.

 

[Martin Everson]

I only wonder what they live from and how long this can last.

That's a good point. The EMI and prepaid card business is very competitive. One needs to offer lowest costs in order to build a customer base and market shares. This is normal in all EMI's etc that give away prepaid cards to customers for free like Transferwise. Once they build their volume of active customers and transactions it is very very profitable indeed. More profitable than a traditional bank as overheads such as staff, buildings, expensive compliance and huge IT infrastructure are eliminated.

Just expect that in the first couple of years they could be loosing money which is totally normal and part of growing the business.

 

[void]

Maybe they also look at it as a support for their BTC exchange which is rather small but providing good service in terms of liquidity and having no trading fee! Raising money just from deposits and withdrawals - not sure how good business it is for them now.

 

[Martin Everson]

I can tell you userbase is more important than profitability in todays world. If they get to 1m users but no profitability they can go two routes:

1) Go for a round of capital raising from investors like wirexapp.com did in past.
2) Charging 10 euros a year to have the account (unlikely).

I mean wirexapp.com has over 1.5m customers alone and done over 1.5bn transactions and I won't say they are any different to mistertango apart from charging for card delivery.

My point is it gets profitable very quickly once you reach critical mass. Don't forget mistertango also acts as a PSP to other PSP's ;-) You maybe shocked how profitable it is if you sit down and do the maths. On the other hand they may not have a clue what they are doing business wise and be out of business tomorrow :-(