Using Memos and References in bank transfers

When you send a bank transfer, the recipient often sees not only the amount you sent but also additional information you attach to the payment. In the European banking system, these transfers are processed as SEPA payments. SEPA allows two different types of payment descriptions: an unstructured memo and a structured reference.

Monerium supports both options, and you can choose the one that best fits your payment - but you can only use one of them per transaction.

1. Memo (Unstructured Remittance Information)

A Memo is free-form text added to your payment. It appears on the recipient’s statement and serves as general supporting information. It uses the SEPA unstructured remittance information field

(RmtInf > Ustrd  ).

1.1 Purpose

The memo field is intended for human-readable notes, such as:

• A short explanation of the payment
• A message to the recipient
• Descriptions for informal or personal payments
• Additional context that is helpful but not required for processing

Because the content is unstructured, it is not used for automated matching by business accounting systems.

1.2 When to Use a Memo

Use a memo when:

• You are sending money to an individual
• The payment has no official invoice or order attached
• The recipient does not require a specific reference code
• You want to include a note, greeting, or explanation

Examples: “Dinner on Friday”, “Thanks for the help”, “Deposit for the apartment viewing”

1.3 Format and Limitations

• You can enter between 5 and 140 characters. The full memo is sent, but the recipient’s bank may show a shorter version depending on their display limits
• Cannot be used for structured formats like RF Creditor References
• Multiple memos are not supported - only one unstructured text field per payment

2. Reference (Structured Remittance Information)

A Reference is a structured piece of information that businesses and organisations use to match your payment to their internal records automatically. It is placed in the SEPA structured remittance information field

(RmtInf > Strd  ).

2.1 Purpose

References are designed for automated reconciliation. Many businesses’ accounting systems read this structured field and use it to match payments to:

• Invoice numbers
• Order numbers
• Customer or subscription IDs
• Tax or government payment codes

Using the exact reference provided by the recipient ensures your payment is detected and processed correctly.

2.2 When to Use a Reference

Use the Reference field when:

• The recipient explicitly tells you to use a specific reference
• You are paying an invoice that has a reference printed on it
• You are sending money to a business that relies on automated matching
• You are paying taxes, utilities, or government fees with a required code

If a company provides you with a reference, they typically mean the structured SEPA reference - not the memo.

2.3 Format and Limitations

• References can be up to 35 characters, which is the maximum allowed by the SEPA standard
• Some references follow special standards (e.g., RF Creditor Reference, ISO 11649)
• Must be entered exactly as provided by the recipient
• Only one structured reference can be sent per payment
• Businesses may reject or delay payments that contain incorrect references