Are you struggling to decide whether to use Zelle or Venmo? Both of these payment services are reputable options that have become extremely popular in the USA. However, is one better than the other? We have all the information you need below about the pros and cons of using Zelle vs Venmo, so you can better decide which payment service will be right for you.
What is Zelle and Venmo?
If you are in the USA, you will probably already have heard, and maybe even used, both Zelle and Venmo. Venmo is an e-wallet that works in a similar way to other popular e-wallets such as PayPal, Skrill and Neteller. You can connect your bank account up to Venmo and move money into it where it will be held until you are ready to use it.
On the other hand, while Zelle also acts as a middleman between your bank account and the recipient, it will not hold your money in an e-wallet style system. It allows you to transfer cash from your bank account and this money is directly sent to the recipient. Over 1000 US banks and credit unions offer their customers the Zelle service within their mobile apps.
Both of these payment services act as a middleman and allow you to protect your sensitive banking information online.
Why Should I Choose Zelle?
There are many qualities of the Zelle payment service that make it a go-to option for users. Here are some of the top reasons why you should opt for Zelle over Venmo:
- Fees – there are no fees when using Zelle. You can transfer money without having to worry about unnecessary additional costs
- Accessibility – as this payment method is available across 1,000 US banks and credit unions, it will be easily accessible for the vast majority of users who want to check it out
- Security – players get the peace of mind knowing they are protected from hackers as no sensitive banking information has been used for the transaction
- Speed – Zelle transfers are high-speed and usually occur instantly
- Reputability – Zelle is known for its fast, easy and secure payment transfers
When using Zelle, players can expect a fast, secure and reliable service that transfers money between their bank account and the recipient without having to hold on to the cash in an e-wallet.
Why Should I Avoid Zelle?
While there are lots of reasons to choose Zelle, this payment service has its cons too. Consider these negatives before choosing Zelle over Venmo:
- No credit card – Zelle is a service that cannot be linked up to a credit card for payments
- Convenience – many players like that an e-wallet will hold their cash and keep it safe, which is something you will not get with this payment service
- Cancellations – if you have made a mistake with your transfer, you will not be able to cancel it If the recipient is also using Zelle
There are very few cons to using Zelle and it is a strong competitor against the e-wallet Venmo.
Why Should I Choose Venmo?
Venmo has become a go-to payment option for many in the US. Not only can you use it to send money to friends and family, but it also works at many online retailers and can be used for online gambling. Here are some of the advantages that come with choosing Venmo over Zelle:
- Fees – there are limited fees with Venmo for deposits
- Convenience – Venmo is widely available to use
- Digital wallet – as this is a digital wallet payment system, you can hold money in your Venmo account
- Safety – Venmo allows you to make payments and keep your sensitive banking information safe
As you can see, there are many reasons why players opt to use Venmo including its extra safety features, its ability to hold money in the account and how widely available it is to use.
Why Should I Avoid Venmo?
Venmo has many pros but has a few cons too that users should be aware of before creating an account. Some of the Venmo negatives include:
- Fees – players should always check the Venmo site before carrying out a transaction as there can be some higher fees involved
- Instant deposit fee – if you want to make an instant deposit, this will cost you a fee, otherwise it can take up to three working days to transfer the cash
- Interest – while you can hold money in a Venmo account, it does not provide the ability to earn interest
Venmo has some cons that people will want to consider, such as the instant deposit fee which may make it not a viable option for some.
Can I Send Money to Venmo with Zelle?
Unfortunately, you will not be able to send money to Venmo via Zelle. Each of these payment methods works with different technology to transfer cash, and with Zelle, you can only use it to transfer funds between bank accounts. Venmo is only a digital wallet, rather than a bank account, so you cannot fund it using Zelle.
Should I Choose Zelle or Venmo?
Ultimately, there is no correct answer and the decision on which payment method to opt for is down to you. It all depends on what your priorities are. Both of these payment services work very well but if you want to minimise fees as much as possible, then you may be better off choosing Zelle. However, if you are willing to pay a little more for a better app and service, then Venmo will be the one for you. Whichever one you choose, you can do so knowing that it is secure and your banking information is kept safe.
Author
Craig Healy is the Editor-in-Chief at Paybyphonebillcasino. He has over a decade of experience in writing and editing, with a focus on creating content that is both informative and engaging.
He is a keen researcher and devotes his time to covering everything payments. In addition to his work at Paybyphonebillcasino, He also contributes articles for other publications such as Business Insider UK and Forbes Middle East, where he shares insights about the latest developments in the payments industry around the world.
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