With so many paid services available today, chances are you and your friends don’t use the same service. So, there you are, looking to split a check with your friend, and the only problem is that one of you is using Zelle and the other is using Venmo.
As you know, these two services are competitors so you cannot send money from one to the other. This article explains alternative options and what would be the best thing to do.
Can I send money from Zelle to Venmo?
As briefly mentioned above, the answer is no. With this in mind, we wanted to help you find an alternative. If you have a Zelle account, you can send money to people who don’t have a Zelle account, but not directly to Venmo.
Who can I send money to with Zelle?
Zelle does not require both parties to have a Zelle account. To make a transfer, only one party must have a Zelle account.
Therefore, If your bank supports Zelle transfers, you can send money to anyone who has an account at any US bank.. Besides, Friends who use Venmo must also have a bank account.. Can you see where this scenario is going? This means you can make a direct deposit into your bank account using Zelle.
On the other hand, if you don’t have a Zelle account, you can send money only to people who do. In this case, you won’t be able to send money directly to someone else’s bank account. Anyway, you can solve this problem by downloading the Zelle app and linking it to your bank account. All major US banks co-own or support Zelle. Furthermore, the service is free.
Even if your bank doesn’t support Zelle, you can install the app and link your Visa or MasterCard debit card (not normal credit cards). The only problem is that the amount of money you can send is somewhat limited ($500 per week). Users with qualified bank accounts attached to Zelle tend to have higher weekly limits when transactions are made through the bank.
Which is better: Zelle or Venmo?
Although the two services ultimately do the same thing, there are differences between the two.
Speed
If both users have a Zelle account, this is definitely a much faster option. Transfers are instant, no matter how much money you send. Zelle is also a free initiative started by several major US consumer banks. However, if the other person does not have Zelle, the transfer may take longer.
Venmo transfers typically take between one and three business days, unless you’re willing to pay an additional fee for an instant transfer. The only problem might be if you want to send money to someone on a Friday. The recipient may have to wait up to four days if Monday is a holiday.
Fee
One of the best things about Zelle is that it’s free. As said, the banks that own Zelle designed it as a free service for fund transfers between friends, local businesses, and trusted people. However, you may want to check with your bank or credit union if they charge a fee on their end.
On the other hand, standard Venmo transfers are free, but they work like the old ACH transfer or online check deposit, which can take longer. Like ACH instant transfers arranged in our online banking, Venmo instant transfers have a fee, in this case, 1%.
Security
The Venmo app uses encryption to keep your data safe and also allows you to add a PIN. Account monitoring and notifications also come standard with these services.
Owned by banks, Zelle, of course, also has security features, such as transaction authorization and fraud monitoring. However, it’s not a credit card, so there’s no chargeback protection for purchases.
Unlike Venmo, Zelle gives you the option to send money to a small business account. Again, this doesn’t mean you should send money to random online businesses. Use it as a cash alternative to pay for services and products.
You can choose
It’s hard to say for sure which service is better, Zelle or Venmo. Although most people prefer one or the other, is there anything stopping you from using both? You don’t have to pay any fees unless you use Venmo instant transfers.
