MCHNetworks
The Postal Network: A Digital Money Transfer Network for Post Offices
MCHUSA's Digital Money Transfer Network (DMTN) gives post offices a fast, secure platform for processing money transfers locally and internationally.
Background
Money transfer services began with government post offices, which offered Postal Money Orders. This system enabled people in villages and communities to send money through widely available postal networks. Under this system, a sender visits one post office to purchase a money order and sends it to a recipient, who could cash it at another post office.
Over time, this evolved into money transfer services in which the sending office received the funds and the receiving office paid them out, with both offices reconciling transactions daily. Although post offices still offer this service, private companies now lead the market through digital and mobile-based transfer systems.
Even so, the broad reach of post offices makes them a practical option for people who are not yet comfortable using digital or mobile money services. Because post offices are connected both locally and internationally, their money services can benefit from technology that strengthens links with postal networks worldwide. They only need an amendment to their regulations to permit money transfer services.
MCHUSA Postal Money Services
MCHUSA has developed a Digital Money Transfer Network (DMTN) which will be contracted for use by post offices. This DMTN allows postal staff to process money transfers to and from post offices, including information about both the sender and the recipient. It generates a unique ID for payment.
Although the service is designed mainly for in-person transfers, it also supports digital transactions. Customers can log in to the DMTN postal network, pay for the transfer, and the recipient can collect the funds from any post office. Users can access the secure interactive platform on the web, with optional support for Android and iOS.
24/7 Support
The Network includes MCHUSA 24/7 technical support for enrolled post offices and users.
How a Transfer Works
- 1
Staff records sender details
Postal staff record the sender's information and process payment. The sender pays the principal amount plus a transaction fee based on the transfer amount.
- 2
Receipt issued with program ID
The sender receives a receipt showing the sender and recipient name, transfer amount, and a unique DMTN program ID. The receipt may also be sent by email.
- 3
Recipient collects funds
The recipient presents the DMTN ID at any participating post office to collect the funds. Because the system uses electronic transmission, transfers are completed quickly and securely.
Operations and Infrastructure
DMTN uses a scalable, modular platform supporting international users, future growth, and best practices in IT, cybersecurity, and cloud infrastructure. Built by experts in postal money transfer operations, the Network helps post offices increase revenue using existing personnel.
Post offices may set transfer limits, reconcile daily, and maintain sufficient funds. Reports flag balances requiring action and support postal audits.
Digital Transactions
Customers can send funds to a post office through local mobile money services, with DMTN handling the transfer between post offices for pickup. An add-on module can extend the service internationally.
Billing Model
MCHUSA charges a small percentage fee on each DMTN sending transaction. Each month, a report lists all transactions, the sending and receiving post offices, and the related fees.
Partner with the Postal Network
To learn more about contracting with MCHUSA for the DMTN, contact our Networks team.