Dwolla is a simple service that lets you connect to Facebook and Twitter to send and receive funds. Once your checking or savings account is linked to Dwolla and your social network contacts are imported (an automatic process that occurs programmatically behind the scenes), you can send money to any of your Facebook friends or Twitter followers.
The startup also allows for “hub” pages, microsites any user can create for requesting or sending money.
Users send money through Twitter and Facebook by following these steps.
1. Login to your Dwolla account.
2. Click Send Money.
3. Start typing a friends handle name in the Name field.
4. You will see all matching names in real time.
5. Type in amount and your PIN, then click send.
There are a couple of other startups in the same space including Buxter , Pay Me and TwitPay.