10. June 2020
The new proxy payment solution has reached the LHV mobile app, which means that now only the recipient's phone number is needed to make payments. As the only bank in Estonia, LHV also offers the proxy payments solution to companies.
Completed this spring, the interbank proxy payment solution allows payments to be made swiftly on the basis of the recipient’s phone number. The prerequisite is that the number is linked to the client’s current account.
‘The interbank proxy payment service is another step in the development of payment services. We see that our clients are increasingly preferring to conduct their daily banking operations on their mobile phones, and the addition of such convenience services makes it even easier to manage their finances. Therefore, the addition of proxy payments is definitely a positive news for our clients,’ said Kaspar Loog, Head of LHV Payment Services.
When possible, the proxy payments will be processed as instant payments and the money will be transferred to the recipient’s account within seconds. The proxy payment can be initiated in the LHV mobile app as a regular payment order, by selecting the recipient from the contact list on your phone. If the recipient has joined the proxy payment service, the payment order will be filled in automatically with the correct data. However, if the phone number cannot be found in the proxy payment register, the LHV mobile app has the option to send the recipient an invitation to join the service.
To link a phone number to a bank account, you must have physical access to the number in order to verify the verification code received via SMS in the mobile app. If the names of the contact selected from the contact list and the contact filled in from the register do not match when making a payment, a warning will be displayed, asking you to verify the accuracy of the data.
LHV is the only bank in Estonia to offer the proxy payment solution not only to private clients but also business clients. A corporate mobile phone can also be linked to a corporate account, but keep in mind that one phone number cannot be linked to multiple accounts.
The proxy payment service was created in cooperation with the Central Bank of Latvia, which securely manages the register of phone and account numbers of both Estonian and Latvian clients. In Estonia, in addition to LHV, Swedbank, SEB and Coop Pank have also joined the service.
Read more about the proxy payment service here!
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