This is almost exactly how Paypal started - except they 'beamed' it over instead of using SMS.
Eventually they realized that people were much more interested in using their website to transfer money, hence what we have today..
Ask HN: Rate this Start Up - Venmo.com
31–40 of 65 posts
Re: Ask HN: Rate this Start Up - Venmo.com
#32It's a great idea, but in reality, it's going to be a very tough job to make it secure and legal. If you haven't read the PayPal chapter in "Founders at Work" yet, you should.
Or, PayPal Wars: http://www.amazon.com/PayPal-Wars-Battles-Media-Planet/dp/09...
It also mentioned the legal hoops they had to jump through...and was a very interesting read.
Re: Ask HN: Rate this Start Up - Venmo.com
#33I don't see the point here. I mean, I could pay Jenny back next time I see her. Am I missing something ?
There are a few things here -
1) You don't have to remember that you need to pay. You pay instantly and be done with it.
2) Jenny may be someone you don't often see.
3) You're away but want to pool in for a gift or celebration back in town.
Re: Ask HN: Rate this Start Up - Venmo.com
#34I don't see the point here. I mean, I could pay Jenny back next time I see her. Am I missing something ?
There are a few things here - 1) You don't have to remember that you need to pay. You pay instantly and be done with it. 2) Jenny may be someone you don't often see. 3) You're away but want to pool in for a gift or celebration back in town.
Thank you.
Re: Ask HN: Rate this Start Up - Venmo.com
#35Nicely done interface. A minor nitpick, if you send SMS to 646-863-9557, shouldn't the second screen have a different phone number?
Or does all of the interaction you show there happens on the person sending the money?
Re: Ask HN: Rate this Start Up - Venmo.com
#36Word.
1. I am confused if I text a shortcode, or if I have to text that 646 bullshit?
2. I should be able to click on step 1/step2/step3 in your animation in case I want to review the information contained in that slide a little longer.
3. You have to be EXPLICIT about fees on the front page.
Re: Ask HN: Rate this Start Up - Venmo.com
#37Earlier quoted context omitted.
It clearly states on the site they make money of every text message sent. edit: from the info pages "We charge a transaction fee every time you receive money. Sometimes, the person sending you money can pay for the fees associated with the transaction. Those fees are outlined on our Venmo Fees page." There's also a premium service for businesses. http://info.venmo.com/pricing/pricing-plan-comparison/
But the person who submitted the story says otherwise: http://news.ycombinator.com/item?id=948793
As of right now they are not charging... it is open beta... but i'm sure that will change.
Re: Ask HN: Rate this Start Up - Venmo.com
#38That will work only if it is guaranteed that the sender phone number in an SMS message cannot be spoofed. Is this the case? Does anyone know?
Re: Ask HN: Rate this Start Up - Venmo.com
#39That will work only if it is guaranteed that the sender phone number in an SMS message cannot be spoofed. Is this the case? Does anyone know?
SMS isn't secure.
Re: Ask HN: Rate this Start Up - Venmo.com
#40There are A LOT of rules around money transaction services and the feds have only gotten stronger in their enforcement of them post-9/11. You'll need to watch out for so much fraud from carders. Best of luck, but perhaps you should talk to the textpayme guys, who did some very fancy things to avoid regulation.