Residents on both ends of the Island will be able to send packages overseas more easily after Federal Express signed a deal with Bermuda Financial Network (BFN) to provide the service.

The Fed Ex new service, which will be based at BFN's branches in King Square, St. George's and Somerset Road, Somerset, will be launched next week.

And BFN's managing director Alvin Wilson has a number of new in-house promotions lined up including the roll-out of money transfers via cell phone and the Internet.

"We basically struck a deal with Federal Express to allow people to use BFN not only as the fastest way to send money through a money transfer service, but also to be the fastest way to send packages anywhere in the world," he said.

"We noticed after being in Somerset and St. George's that neither end of the Island was served with the courier service, so to send a package by courier from a school or old folks home or institution or business over there they would have to go all the way into Hamilton.

"We have actually had people who have stopped by with a package already after they noticed that the Federal Express truck had delivered supplies to our stores.

"This is just one of the many new initiatives that we'll be rolling out between now and the end of the year." Other promotions range from $25 cash back for successful American Express applicants, with $25 for each successful referral, to a special September Bonanza of $25 cash back for every 25th transaction every day throughout all the branches, while each transaction is entered into a draw to win dinner for two, a round trip to New York or the top prize of a Caribbean cruise for two or a Christmas cruise for two to Hawaii, according to Mr. Wilson.

"I believe that Bermuda is ripe for a number of services that are available in other parts of the world that have not been made available here yet," he said.

Mr. Wilson said that BFN was the first company on the Island to offer Internet bill payment, with about 1,600 vendors locally and thousands of vendors in the US who can be paid online, such as credit card and utility companies as well as schools. The Easypay service, which is available at $9.95 per month, will soon be on offer to subscribers for no monthly fee, while users able to send money to any bank in the US through its new electronic transfer service for $7 plus foreign exchange costs.

The company will also be assisting people in filling out the necessary forms to obtain a British passport for the fee of $199 per application plus British Embassy and courier costs, cutting the cost of going through a lawyer.

"There are a number of people who go to law firms to get that done and it is costing them thousands of dollars when we want to do things in a convenient and cost effective way for the customers," said Mr. Wilson.

Last month Mr. Wilson's wife Lois opened competitor the Money Shop, which offers money services through MoneyGram, but he admitted that it was healthy to have competition even if it was from his own spouse.

"I think in competing against each other in ensuring new and vibrant services, the customers are going to get the best deal and we can enhance the market," he said.

"I respect her very highly as a business person and I think that the respect is mutual and I think that Bermuda is going to benefit from seeing some very exciting services brought to the market."