Money transfer by use of a payment proxy

A method for effectuating a financial transaction between first and second users of a payment service system, the method comprising:

• receiving, by the payment service system, from an application executing on a first mobile device of the first user, a request for a first payment proxy identifier for the first user;
• receiving, by the payment service system from an application executing on a second mobile device of the second user, a request for a second payment proxy identifier for the second user;
• generating, by the payment service system, the first and second payment proxy identifiers so that each of the first and second payment proxy identifiers (1) is for the respective first and second users, (2) has a currency indicator prefixing one or more alphanumeric characters, (3) is individually distinguishable from other payment proxy identifiers for other users, and (4) enables the payment service system to identify a financial account of a respective user in lieu of payment card mechanisms;
• associating, by the payment service system, the first payment proxy identifier with a first financial account of the first user and the second payment proxy identifier with a second financial account of the second user;
• receiving, by the payment service system, a message from the application executing on the first mobile device of the first user indicating a money transfer request from the first user for the second financial account to send funds to the first financial account, the message including the second payment proxy identifier in lieu of payment card mechanisms;
• in response to receiving the message by the payment service system, transmitting a text message to a mobile messaging application executing on the second mobile device of the second user, the text message including an indication of whether to confirm or cancel the money transfer request and including a hyperlink for the second user to select or interact with in order to approve payment;
• and
• based on a response from the second user, processing, by the payment service system, the money transfer request by initiating transfer of an amount of funds corresponding to the money transfer request from the second financial account to the first financial account.