If you’re going to send and receive money from your phone, it’s time to treat that phone like the wallet it really is. Whether you’re a Venmo aficionado or considering opening an account, here’s what you need to know, including fees, security, privacy and card use options. Venmo is one of the best cash apps, making it a convenient tool for those who want a low cost way to send and receive money. After opening a Venmo account, you may be offered a Venmo debit or credit card. These cards can be useful, although it’s important to learn how they work before accepting and using them.
Check the data at the top of this page and the bank’s website for the most current information. The editorial content on this page is based solely on the objective assessment of our writers and is not driven by advertising dollars. It has not been provided or commissioned by the credit card issuers. However, we may receive compensation when you click on links to products from our partners. If there isn’t enough in your Venmo balance, the entire payment would be charged to your linked payment device. If you don’t have one or there’s not enough money available there, your account “will be temporarily frozen until the funds are paid back,” according to the site.
You can even express yourself with custom payment notes and emojis. Jonathan Lesser is a writer, editor and communications professional living in Pelham, N.Y. Jonathan writes about personal finance and cryptocurrencies for Tom’s Guide. He has worked at two Fortune 100 financial services companies and has been published in Men’s Health, Men’s Journal, Vibe, Travel + Leisure Golf and other publications. The People tab shows both nearby Venmo friends as well as past transaction activity with connections showing in text chat interfaces. And if consumers have any problems, especially involving unauthorized fund transfers or debt collection, they should contact the CFPB (as well as Venmo), right away. That would include making sure the amounts going in and out of the account are accurate, and that there are no unnecessary charges, he adds.
How to add money to Venmo
For “a limited time,” the company is waiving fees for government stimulus checks, according to its site. If you have a rewards card or loyalty program you use frequently, call the card issuer or program owner and find out how it treats Venmo transactions. Venmo recommends reading its user agreement and cardholder agreement. Also, additional protections can apply if you’re buying from a merchant.
Scammers will try to get you to pay them using Venmo or try to trick you into giving up your Venmo information in order to access your account. If you want to send your friend $50, enter “50” in the field with the dollar sign to the right of the person’s name. With these partnerships, PayPal wants to cover more than 2 billion users across the world. Keep an eye on your inbox—we’ll be sending over your first message soon. And as electronic payment options have gained momentum during the pandemic, so has Venmo. The information presented here is created by TIME Stamped and overseen by TIME editorial staff.
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- Venmo handled over $230 billion in payment volume in 2021 alone – and continues accelerating.
- He offers the same advice to anyone using any peer-to-peer payment system.
- The company said that in 2026, Venmo users will be able to pay for shopping both online and offline for merchants that support PayPal’s payments.
- Venmo is meant to be used on a mobile device and help you split checks or pay for items you would normally purchase with cash.
Standard transfers are free.
Venmo and Paypal allow you to send funds to friends and family using a computer or mobile device. The main difference is that you can send money internationally with Paypal, whereas you can’t with Venmo. Both apps charge similar fees (such as for instant transfers) and have debit and credit card offerings. Where Venmo shines is in its transfer times—free standard transfers take anywhere from one to three days, whereas Paypal takes around three to five. While you could earn rewards for purchases, a credit card might not be the best way to send money to individuals.
- Like any financial service handling banking details and cash transfers, applying certain security precautions helps protect Venmo account safety.
- And if consumers have any problems, especially involving unauthorized fund transfers or debt collection, they should contact the CFPB (as well as Venmo), right away.
- While you could earn rewards for purchases, a credit card might not be the best way to send money to individuals.
- But some credit card points structures actually make Venmo purchases worthwhile for cardholders chasing travel miles or cash back bonuses.
- In the “What’s it for” field, located below the person’s name, type in whatever you want.
- Check the data at the top of this page and the bank’s website for the most current information.
Creating Your Venmo Account
In addition to payments, Tenpay Global will deepen its collaboration with PayPal World in remittances,” Wenhui Yang, CEO of Tenpay Global, said. And turned around – recipients aren‘t just limited to money transfers initiated by others. Let‘s explore payment requests next – extremely useful for reimbursements. EDITORIAL DISCLOSURE All reviews are prepared by CreditCards.com staff. Opinions expressed therein are solely those of the reviewer and have not been reviewed or approved by any advertiser. The information, including card rates and fees, presented in the review is accurate as of the date of the review.
Installment plan services can be a great way to finance large purchases for a low cost, especially if you choose a structure that works with your spending habits. “Customers automatically earn cash back on the categories where they spend the most, earning up to 3% back on their top spend category, up to 2% back on the second highest and up to 1% on all other purchases,” says Sinlao. Users “will also be able to access various cash-back offers and deals when they make eligible purchases using Venmo QR codes in-store,” says Sinlao. Even if you know the person, if you have not sent them money before, it’s safer to ask them to send you a request first.
The content on this page is accurate as of the posting date; however, some of our partner offers may have expired. Please review our list of best credit cards, or use our CardMatch™ tool to find cards matched to your needs. At the bottom right of the screen is the privacy setting, which you can tap to change. The company has also signed a memorandum of understanding with Latin America’s Mercado Pago, a fintech company that enables card and mobile payments, while the final details of the deals are being ironed out.
Transfer funds
As already mentioned, there are many other apps similar to Venmo you can use. In the “What’s it for” field, located below the person’s name, type in whatever you want. Get instant access to breaking news, the hottest reviews, great deals and helpful tips.
Linking Debit and Credit Cards
Venmo primarily makes money through fees, such as when users pay with their credit card or want to request an instant bank transfer. For instance, if you withdraw money from a Venmo debit card at a bank or out-of-network ATM, you’ll pay $3 or $2.50, respectively. Venmo is an app you can use to send and receive cash to and from friends. You can even use it for business purposes, such as paying for goods and services. If, for example, you want to split a rideshare fare, you can easily pay your share through Venmo.
Do I need extra security while using Venmo?
If you have more questions, be sure to check our FAQ What is Venmo? If you’ve paid someone by mistake, you’ll want to know how to cancel a Venmo payment and how to undo a Venmo payment to the wrong user. And if you’re done with the service entirely, here’s how to delete your Venmo account. China’s Tenpay is also working on creating a better remittance framework along with enabling cross-border peer-to-peer payments. Verify your bank account to be sure money goes to the right place.
Withdrawing Money
Travellers should utilize PayPal instead for any global payment needs or withdrawals. Because policies vary and because the money goes through a Venmo account first, talk to your bank or credit card issuer ahead of time. Ask specifically what kind of protections it will offer if you link their product to a Venmo account. While Venmo transfer limits are lower than Paypal, it may not be a dealbreaker if you don’t intend on sending or receiving large sums of money within a short period of time. Since Venmo is only available in the U.S., it’s best for those located in the country and sending money to friends and family. Upon approval after a credit check, you can earn up to 3% cash back on certain spending categories, 2% on another one of your choosing, and 1% on all other eligible purchases.
He offers the same advice to anyone using any peer-to-peer payment system. With the free option, the deposit can take up to 10 days to arrive. (Which could be within minutes or up to 1.5 hours, according to the website.) The fee is 1% for government and payroll checks with pre-printed signatures, and 5% for everything else – with a $5 minimum. Total user base and transaction volume of these wallet systems are massive. For instance, Mercado Pago’s total payment volume was $58.3 billion in the first quarter of 2025. In India, UPI transactions hit more than $238 billion just for the month of June, according to NPCI data.
So generally opt for debit transfers to avoid service costs if carrying card balances doesn‘t matter. But some credit card points structures actually make Venmo purchases worthwhile for cardholders chasing travel miles or cash back bonuses. “Don’t use Venmo or similar services for any transactions involving strangers, including large businesses,” Mierzwinski says. “Use it only for transfers between friends and family and trusted small businesses (like your landlord or lawn service).