Universal Transfers, Identity Beyond Account Numbers

The More Transfers, the More Users Notice the Small Details

For years, bank transfers have been designed around bank accounts. Senders had to accurately input the recipient’s account number, bank name, and related details. This method suited large, planned transactions requiring high control, especially in formal business and payment environments.

However, as transfers became part of daily personal transactions—from splitting meal costs to small purchases and sending money to family—user expectations shifted. For frequent, smaller amounts, convenience became paramount: how fast is the process, how much manual input is required, and are there unnecessary steps?

In this context, long account numbers revealed their limitations. An acceptable step once becomes inconvenient and error-prone when repeated daily or weekly. Users began seeking simpler transfer methods, reducing reliance on technical details, and focusing on the core need: sending money accurately, quickly, and effortlessly.

Phone Number Transfers – Shifting Identification from Accounts to Users

In response, payment systems began rethinking recipient identification. Instead of relying solely on bank accounts, some models adopted personal identifiers—most commonly phone numbers—for transactions. Essentially, this isn’t replacing transfer infrastructure but enhancing the experience. The system still operates on interbank payment networks, adhering to authentication, reconciliation, and security standards, but how individuals are identified in transactions has evolved.

Among fintech companies, MoMo exemplifies this approach. With MoMo transfers, senders use the recipient’s registered phone number instead of a bank account number. Transactions occur within the bank’s app as usual, but the experience is streamlined: senders don’t need to know the recipient’s bank or memorize long account numbers.

Fundamentally, this doesn’t replace traditional transfers. Bank-to-MoMo transactions remain transfers, processed via the NAPAS interbank payment system and meeting all authentication, reconciliation, and security standards. The difference lies in the experience: identification shifts from accounts to users via phone numbers.

This shift reflects a broader trend in digital finance: as technology matures, innovation lies not in adding features but in redesigning human-centric experiences. Phone number transfers aren’t just procedural improvements; they embody a more humane approach—where payment systems serve life, rather than forcing humans to adapt to complex technical structures.