6 Best Venmo Alternatives in 2022

Are you contemplating Venmo as your most popular digital cost platform? Thinking of shifting away from Venmo, or including to it. Consider these Venmo alternate options earlier than making a choice.

Given the explosion in cost platforms lately, it’s straightforward to neglect that just some brief years in the past, the one actual participant within the discipline was PayPal. Today, one of the common choices is Venmo. Its income has persistently trended upwards during the last a number of years, from $160 million in 2017 to $850 million in 2021 with over 70 million customers.

However, customers and small companies are more and more involved about privateness and information safety in payment-related know-how. Many are reconsidering which digital cost apps they select to make use of and the way they use them. If you’re amongst these customers inspecting your accessible digital cost choices, take into account these six alternate options to Venmo.

The Pros and Cons of Venmo

Originally supposed as a simplified means to assist buddies break up a test or ship cash forwards and backwards, Venmo has advanced fairly a bit since its public debut. The peer-to-peer performance continues to be free if you happen to use your Venmo stability. You can use the Venmo debit card or the app itself to make purchases at tens of millions of retail companies. You may use a bank card to fund purchases.

Because cash modifications arms immediately and is accessible to be used by way of the Venmo debit card or the app itself, you don’t essentially need to replenish your stability with the intention to ship cash or make a purchase order. And true to its origins, it stays a very fashionable strategy to break up a test or share a invoice with others, corresponding to roommates or buddies.

Spending Limits

Venmo units an preliminary spending restrict of $299.99. However, customers can confirm their identities to take pleasure in an elevated restrict of $50,000 each seven days.

Fees

Venmo doesn’t cost charges for sending cash between buddies and different people, however it does assess a 2.9% transaction charge for purchases and different business-related funds. If a person needs to immediately switch funds from Venmo to a linked card, Venmo costs a 1.75% charge.

Privacy Concerns and Venmo

The signature function of the app is its social function, which is the underlying supply of the privateness debate over the app. By publishing a consistently updating feed of customers and transactions, Venmo maybe unwittingly created a gap for a decided particular person to hint connections and even snoop out personal accounts, doubtlessly opening up customers to fraud and id theft. Outlets corresponding to Wired started calling out Venmo’s safety and privateness issues as early as 2018. 

That potential vulnerability was publicly revealed in dramatic vogue throughout the summer season of 2021, when, lower than six months into the Biden administration’s first time period, Buzzfeed reporters found the key Venmo accounts of the President and First Lady, in addition to plenty of individuals within the couple’s personal social community. That revelation despatched many customers out on a seek for alternate options to Venmo.

Originally, Venmo person account settings defaulted to “public” in order that if the person didn’t mark transactions as personal, others might monitor their transactions on the app. In response to the invention of the Biden’s accounts, Venmo made some modifications. For occasion, the app added person controls to set the buddies listing to personal, public, or seen solely to buddies.

You may assist shield your account by setting your transactions to personal, making your Venmo person ID nameless (i.e., not your precise identify), and limiting who you join with on the app.

6 Best Venmo Alternatives

If the privateness points or different options don’t appear best for you, take into account these alternate options to Venmo.

#1

PayPal

PayPal logo

Available On: Web; Android; iOS

Fees: No charge for P2P transfers or purchases for customers; 2.99% for companies

Spending Limits: None (although your financial institution could set limits)

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#2

Zelle

Zelle Logo

Available On: Within financial institution apps and websites; Android; iOs

Fees: No charges

Spending Limits: Unverified customers: $500 for withdrawals, and $10,000 for funds. Verified customers: $60,000 per transaction

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#3

Apple Pay/Apple Cash

Apple Pay Logo

Available On: Built into iOS Wallet app

Fees: No charges

Spending Limits: $10,000 per message and per week; most stability readily available of $20,000

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#4

Cash App

Cash App Logo

Available On: Web; Android; iOS

Fees: No charge for private transfers funded by debit card; 3% charge for credit-card funded transfers; 1.5% charge for one-day withdrawal

Spending Limits: Unverified customers: $250 in a 7-day interval, $1,000 obtained each 30 days. Verified: ship as much as $7,500 each 7 days, with no receipt limits

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#5

Google Pay

Google Pay Logo

Available On: Web; Android; iOS

Fees: No charges for private transfers; 1.5% to withdraw funds to a debit card

Spending Limits: Unverified customers: $300 per cost. Verified: Up to $10,000 per cost and per week. 

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#6

Meta Messenger Pay

Meta Pay Logo

Available On: Available inside Messenger on desktop, Android and iOS apps

Fees: No charges

Spending Limits: Sending funds from Visa or MasterCard debit card: as much as $10,000/transaction. Sending funds from PayPal: $3,000/transaction. 

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1. PayPal

One of the preferred alternate options to Venmo is its guardian firm’s signature service, PayPal. It’s not only a strategy to ship cash to family and friends members with PayPal accounts of their very own. It’s additionally a well-liked checkout choice for tens of millions of on-line retailers.

Signing up for a PayPal account is free, and you too can request a debit card to entry funds in your account. Once it’s arrange and configured, PayPal is pretty easy and direct to make use of. It accepts a number of sorts of cost, together with crypto and Venmo amongst different funding sources. What’s extra, if you happen to use PayPal to make a purchase order that seems to be fraudulent, PayPal can help you in getting a refund.

Paypal homepage

Spending Limits

Verified customers can ship limitless complete quantities of cash or as much as a most of $60,000 in any single transaction. Unverified PayPal account holders are restricted to $500 for withdrawals and $10,000 for funds. Users who don’t have a PayPal account are restricted to $4,000 for one-time funds.

Fees

Recently introduced modifications to the PayPal charge schedule for items and providers took impact in late July 2022. Currently, the vendor charge for items and providers is 2.99%; this quantity comes out of the vendor’s income and isn’t added to the full worth for the buying person. Transfers to family and friends members are fee-free, however you possibly can anticipate to pay a 1% charge for immediate transfers to your financial institution or credit score union account.

Privacy and Security

PayPal collects sure person information, together with GPS location information and IP addresses. The firm reserves the precise to make use of person information for its personal inside makes use of, in addition to to share it with different entities owned by PayPal, corresponding to Venmo. In 2021, it was disclosed that utilizing Twitter’s Tip Jar function by way of a private PayPal account confirmed the recipient the account holder’s deal with.

2. Zelle

If you’re primarily fascinated with bank-to-bank transfers, Zele shall be one of many main alternate options to Venmo.

Zelle is a straightforward, simple strategy to switch funds from one particular person to a different. It works inside your financial institution’s web site or app interface (though there’s additionally a cell app for Android and iPhone cell units). Funds you obtain from others go straight into your checking account. However, you gained’t have the ability to use it for a purchase order at a brick-and-mortar retailer. Despite the stripped-down performance, it is perhaps the proper resolution for peer-to-peer transfers.

Zelle is a bank-to-bank service owned by a consortium of main banks. Not all banks present the service.

Zelle homepage

Spending Limits

Your sending limits are set by your financial institution, not Zelle, though usually, you’ll see these limits rise the extra you utilize Zelle.

Fees

Zelle doesn’t cost any charges to ship or obtain cash, though it recommends checking together with your financial institution, which could assess extra charges.

Privacy and Security

Zelle makes use of authentication and fraud monitoring, though it doesn’t require two-factor authorization for peer-to-peer transfers. However, in response to one current NY Times report, fraud involving Zelle is spreading and more and more frequent. What’s extra, your financial institution could or could not help you if you happen to discover out you’ve been scammed utilizing Zelle in connection together with your checking account. Make positive to ship cash to and settle for funds solely from individuals you already know.

3. Apple Pay/Apple Cash

If you’re totally dedicated to the Apple universe of smartphones, watches, and different units, you would possibly respect the attraction of Apple Cash as these instruments combine easily into the acquainted interface, making paying for purchases and sending cash to buddies pretty quick and straightforward.

Apple Pay handles your retail and web site purchases, whereas Apple Cash allows you to ship peer-to-peer funds utilizing Messages on any enabled iOS system. Apple Cash for peer-to-peer transfers is accessible on the internet and by way of iPhone/iOS app entry, however just for U.S. residents thus far.

Apple Cash page

Spending Limits

Users can obtain or ship funds as little as $1 and as excessive as $10,000 per message. There’s additionally a seven-day sending and receipt restrict of $10,000. Additionally, the utmost Apple Cash stability verified customers can have readily available is $20,000.

Fees

Apple Cash costs no charges for sending funds to different people if you happen to use a debit card. Since you possibly can’t at the moment use bank cards so as to add cash to your Apple Cash account, you gained’t incur any extra credit score card-related charges with the service.

Privacy and Security

Apple Cash makes use of NFC, a mobile-based know-how that allows companies to just accept funds from prospects rapidly and simply, with out having handy over or manipulate bodily playing cards. In addition, Apple makes use of Touch ID and FaceID at the side of anonymized digital tokens to guard your card and different delicate information. A 2018 Consumer Reports research discovered that Apple Cash exceeded the efficiency and safety of different peer-to-peer platforms, together with Venmo.

4. Cash App

Cash App is a free cell cost platform for peer-to-peer funds between buddies. You may use the Cash App debit card to make on-line and in-store purchases. One of the value-added options of Cash App lets you buy each inventory and Bitcoin by way of your account. It additionally presents entry to some tax preparation and submitting instruments.

Currently, Cash App is simply accessible for US and UK customers. If it is advisable to make worldwide transfers to different international locations or in different currencies, PayPal might be a greater choice.

Cash App homepage

Spending Limits

You can ship as much as $250 with Cash App in any seven-day interval, and obtain as much as $1,000 each 30 days. Verified customers can ship as much as $7,500 every week, with no limits on obtained funds.

Fees

As with different platforms, Cash App presents fee-free transfers if you happen to use a debit card to fund the switch. If you’re receiving funds, you’ll usually have entry to the funds inside three enterprise days. However, if you happen to use a bank card, you’ll be assessed a 3% charge. Choosing a faster one-day turnaround will price you 1.5% of the full.

Privacy and Security

Cash App combines encryption and fraud monitoring know-how to maintain your person information safe and personal. Any detected fraud will lead the platform to cancel the suspect transaction. Single-use login codes are despatched by way of textual content or electronic mail. You may embrace a further layer of safety by enabling a Security Lock setting, which requires you to re-enter your password for a accomplished transaction.

5. Google Pay

If you’re a fan of Google merchandise, Google Pay is an effective various to Venmo for peer-to-peer and enterprise transactions, particularly if you happen to’re an Android person (though iPhone customers can use it, too). One app handles all of your cost wants. It’s straightforward to make use of and pretty streamlined, given the truth that it helps so many transaction varieties. You may use the platform to obtain enterprise funds for providers or items if you happen to run a small enterprise or have a freelancing aspect gig.

Google Pay Homepage

Spending Limits

Verified Google Pay customers can ship as much as $10,000 per transaction in addition to per week. Unverified customers are restricted to $300 per cost.

Fees

As with lots of its opponents, Google Pay costs no charges to ship cash to different people. If you utilize a debit card for transfers, you’ll be assessed a 1.5% charge.

Privacy and Security

Google makes use of NFC know-how to allow contactless transactions. Sensitive card information is protected by encryption, though additional particulars on Google’s dedication to defending your private information are considerably missing. Unlike PayPal, Google Pay doesn’t supply purchaser safety, leaving every person to barter disputes with retailers on their very own.

6. Meta Messenger

Meta, the corporate that owns Facebook, has totally embraced the metaverse. It’s additionally embraced digital funds, providing its personal various to Venmo. Users of Meta Facebook’s Messenger app can ship and obtain cash straight inside the Messenger app itself. Formerly Facebook Pay, Meta Pay connects you financially by way of all of Meta’s platforms, together with Instagram, WhatsApp, Facebook, and naturally Messenger. You can use it to ship cash to people or companies and to make charitable contributions.

It’s the identical app and principally the identical expertise that existed earlier than, however with some new developments and extra within the pipeline to make sending cash to buddies and companies extra frictionless and easy. For instance, U.S. customers can now break up funds, ship money for birthdays, and use QR codes to each ship and ask for cash from others. In different international locations, Meta is rolling out extra upgrades and options to deal with these international locations’ particular wants.

Meta Pay homepage

Spending Limits

If you utilize a Visa or MasterCard debit card, Meta limits you to $10,000 per transaction and per 30-day interval. Transactions funded by PayPal accounts are restricted to $3,000.

Fees

Meta Pay assesses no charges for sending and receiving funds.

Privacy and Security

Meta encrypts your cost information and shops it securely. The firm additionally states that it conducts routine monitoring to determine and root out fraud and unauthorized exercise and proactively contacts customers who is perhaps affected. You can add a further layer of safety by making a PIN or utilizing your smartphone’s native biometric safety instruments, corresponding to fingerprint and face ID.

Which of These Venmo Alternatives Is Right for You?

Digital funds are so effectively established that nearly anybody will need a presence on a minimum of one platform, presumably extra. Venmo is perhaps best for you, or a number of of those alternate options to Venmo.

Each of those platforms has benefits and downsides, and every is aimed toward a particular sort of person. You’ll have to assess your wants, evaluate your choices, and select the perfect mixture of platforms for you!