A Guide to Instant Payment Services: From A to Zelle

Sending and receiving money has never been easier thanks to the rise of payment apps. Installed as a free smartphone app or accessible online, these services allow quick transactions between users and people they know or businesses they trust. There are now so many different mobile payment apps available that it can be hard to keep track of them all. Here is a guide to break down the most popular and useful ones:

A for Apple Pay^® (and other mobile wallet apps)

For many of us, our smartphone has replaced several devices we used to carry around in our pockets or purses, like the MP3 player or GPS system. Today, it could even replace your wallet  with free apps like Apple Pay and similar services including Google Pay and Samsung Pay. Each of these may be used on any device that supports NFC technology, which allows users to pay for items in-store by simply tapping the device to a terminal at checkout.

"Mobile payment apps make paying for everyday expenses easier."

Upon logging in for the first time, mobile wallet apps let you plug in any credit cards, debit cards, rewards accounts, coupons and most other forms of payment that might normally be stored in your wallet. That can make paying for everyday expenses quicker and safer than a physical payment card with the proper precautions. For example, if your device has a fingerprint scanner, these apps may use that to grant access to your payment accounts. Note that each mobile wallet app is specific to the manufacturer of your device, so only Apple products like the iPhone will support Apple Pay. On the other hand, not all stores will accept mobile wallet payments, or may only accept those from a specific app.

C, S, V and Z for popular payment apps

Venmo^® has become a popular option as a kind of jack-of-all-trades payment app, and so have others that sprang up around it like Zelle^®, Square Cash, Circle and several others  , also known as peer-to-peer (P2P) payment services. Each of these apps can connect to your checking account to enable transfers between other users. That makes them great for routine payments, like splitting rent and utility bills between roommates, or splitting the tab for happy hour drinks with friends. Some businesses may allow you to pay them directly using these apps.

Generally, payments you send or receive using Zelle and similar apps are free of charge, but they may not be added to or deducted from your account for a day or two. For faster payment or additional services, different apps come with different fees or restrictions:

• Venmo: Standard transfers between bank or debit card accounts are free, but instant deposits or charges using a credit card may incur fees. Both senders and recipients of money need to have a Venmo account.
• Circle: Instant transfers and international payments are free, but in-store and online purchases are not supported.
• Zelle: Works between bank accounts even if both parties are enrolled in Zelle. However, it does not support international or in-store payments.

You have plenty of options to find the right payment app for you, but it may take some trial and error to choose the perfect one. Ask us how we can help by contacting us today.

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