What Is Venmo?
Venmo payment is a free-to-use mobile payment app that permits users to send and receive money. This app is owned by PayPal and connects with users’ and businesses’ bank accounts or credit cards to send and receive funds online, and is currently only available for users inside the U.S.
Venmo was founded in 2009 by University of Pennsylvania roommates Andrew Kortina and Iqram Magdon-Ismail as a text-only money transfer service. However, in 2012 the startup was released to the general public as an app for iPhone and Android users to transfer money. It capitalized on the peer-to-peer (P2P) market by allowing users to connect credit cards or bank accounts to the app and send or receive funds directly on their mobile devices.
Easy Venmo Account Setup
=> A big barrier to a widely-used payment network is getting people to register.
=> Other services often entail long forms and need many personal and financial information to urge going. So, they don’t sign up.
=> Fewer people using it means fewer people accepting it. Venmo makes it easy to line up an account.
=> You can simply sign in through a Facebook account or email address. You can already start using Venmo.
=> Funds are held during a Venmo account unless you also provide a bank account or Debit card number.
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How Venmo Payment works
Transfers and purchases. Venmo allows you to send and request money to and from anyone who has a Venmo account. Venmo can help with the awkward chore of reimbursing family or friends for dinner or other outings, but it’s not made for buying or selling goods with strangers. Venmo also can be used for web purchases with certain merchants, usually on websites with a payment button almost like PayPal’s.
Mobile only. Venmo payments are made on its highly rated Android and iOS smartphone apps also as via iMessage or with Siri voice command. You can register at Venmo’s website on a desktop or mobile device to look at transactions, but not to pay or request money.
U.S. customers only. Venmo, which is operated by PayPal, requires both sender and recipient to be within the us .
Venmo Payment Benefits
=> Brand Exposure
With this app businesses can spread awareness far and wide about them. That is because the app connects users with their circles of friends and when one posts a few purchase during a store, it’s seen by many. This creates a conversation about the brand and since word-of-mouth is the best marketing tool, it can convince others to buy from the brand, too.
=> Intuitive Payment Experience
Businesses accepting Venmo app provide customers with an intuitive, seamless, and expeditious payment experience. Users can pay for their items with just a few taps, fast-tracking the enjoyment of their newly-purchased items.
=> Worry-Free Selling
Venmo takes care of securing and protecting users’ financial data by using encryption technology in bank or card linking and verification processes also as during web or in-app transactions. Businesses focus more on the selling instead of worrying about customer’s bank account or card details getting leaked.
=> The PayPal Connection
As Venmo is a service created by PayPal, merchants already accepting payments through the web payment gateway can easily take disbursements from the digital wallet. Users can find the Venmo option once they click on the PayPal button, allowing them to buy their purchases online or in-app securely.
Is Venmo Safe?
With most money changing hands on the app, is Venmo really safe?
Well, in part, it’s safety has been thrown into question as long as it’s an internet-based money-transferring service.In 2016, Venmo app faced some backlash over breaches in user security. The Federal Trade Commission (FTC) even investigated complaints over the company’s privacy policies when handling its transactions.
“Clients face real problem when Venmo didn’t live up to the guarantees it made to users about the supply of their money,” Acting FTC Chairman Maureen K. Ohlhausen said. “The payment service also misled users about the way to keep their transaction data private. This case sends a robust message that financial institutions like Venmo got to target privacy and security from day one.”
However, per their site, Venmo uses bank-grade security and encryption to make sure the security of their customer’s accounts. Venmo app users create a PIN code for mobile phone transactions to further increase safity & security.
And, Venmo still won’t endorse unknown users to send or receive money, but can’t be responsible for payments made to the incorrect person.
How much you can send
Under $3,000 per week. To get started on Venmo, you would like to download the mobile app, create a login and ensure your number, email address and checking account .
Your Venmo transfer maximum per week is $299.99 until you verify more of your identity. When you submit your Social Security number, ZIP code and birthdate, you become “verified” and can send up to $2,999.99 per week in one or multiple transactions.
The maximum you’ll transfer from Venmo to a bank account starts at $999.99 per transaction, but once you’re verified, the limit goes up to $19,999 per week.
It’s possible to avoid fees altogether when using Venmo, but if you favor certain services, there are two charges:
3% on every transaction for payments funded by credit card.
1% per transaction, or a minimum of 25 cents, for fast transfers; this is often once you live from a Venmo balance to your Debit card. These transfers are delivered within half an hour.
Venmo is free for payments funded by bank account, Debit card or prepaid open-end credit . Using a credit card to send money features a fee, but making purchases at merchants that have a Venmo payment option, even with a credit card, is free. And there’s no fee if you use the quality “cash-out” transfer to a bank account, though delivery takes one to a few business days.
Venmo Technical Details
=> Devices Supported
- Cloud Hosted
- Customer Types
- Small Business
- Large Enterprises
- Medium Business