Venmo is undeniably a leading digital payment app in the U.S., boasting over 80 million users as of 2021 according to Forbes. As a subsidiary of PayPal, Venmo has carved a significant niche for itself. However, while its prominence in the mobile payment ecosystem is evident, there are reasons to explore Venmo alternatives.
Mobile payment usage statistics from 2021 indicate that 101.2 million Americans use mobile payment services. Even though Venmo is a front-runner, its availability is restricted solely to the U.S., and some users might seek additional features or benefits not present in the app.
Fortunately, there are several reputable Venmo alternatives worth considering. Options such as Apple Pay, Google Pay, and Zelle offer their own unique features and advantages that might align more closely with individual user needs.
If you’re on the hunt for the best Venmo alternatives, you’re in the right place. This article delves deep into these options, ensuring you’ll find the information you’re seeking.
What is Venmo?
Venmo is a mobile banking app that allows customers to make money transactions with friends, family, and businesses. Users make payments by linking their debit or credit cards. This fantastic app was founded in 2009 when another convenient digital social payments service was being thought of as opposed to cash or check transactions.
The app was launched in 2010. Although it is only available to Americans, many worldwide know about it and appreciate it. Venmo is known to users as a low-cost app. Apart from this, there is an option to pay through Q.R. scanning.
Venmo pricing and fee
It would help if you had a good idea about Venmo prices and fees, so you can understand why people use it. But Venmo has indeed introduced more payment options than ever before.
- Free: No account set up, and monthly fee required.
- Send money: Sending money to people using your credit card requires only 3% fee.
- Add money: Adding money using the cash-a-check feature requires a minimum $5 fee.
- Payment receives: Users need to pay 1.9% + $0.10 to receive payments in a business profile.
- Withdrawal: Electronic withdrawal requires a $0.25 – $15 fee.
- Buy-sell: Buying or selling cryptocurrencies needs a $0.49 – 1.50% fee.
- Cash withdrawal: It requires $2.50 – $3.00.
Why Do You Need a Venmo Alternative?
Americans have forgotten about their traditional money bag for years and have become more dependent on Venmo. But in terms of security, ease of use, and other features, you should try the alternatives to Venmo. Know why you need a Venmo option.
Venmo is only available in the U.S.
Venmo has undoubtedly gained much popularity, but it is only available to U.S. residents. Even only compatible with U.S.-based phone numbers and bank accounts. So no one outside can use this app. Businesses that people want to expand internationally will need wallets like PayPal that work in other countries.
To transfer money free
To avoid paying any fee for a money transfer, you should look for Venmo alternatives. Venmo charges a minimum fee for instant transfers, but some options let you transfer money at any time for no cost. If you choose Zelle as an alternative to Venmo, it is a good decision because it does not charge any fees when you need to transfer money.
To gain a deeper understanding of Venmo, I highly recommend reading our comprehensive guide on Venmo Pros and Cons in 2023. Explore the advantages and disadvantages of using Venmo as your go-to payment platform.
7 Best Venmo Alternatives In 2023
Here are 7 perfect alternatives to Venmo available at the moment!
1. Google Pay
2. Apple Pay
3. Zelle
4. Wise
5. MetaPay
6. Stripe
7. Skrill
1. Google Pay
Google Pay is one of the leading Venmo alternatives, According to market research, Google Pay has 24.5 million users in the US. Google Pay can work on Android and IOS alike. Moreover, it is designed to be compatible with any user browser. Despite their popularity, Zelle, Paypal and Venmo are sometimes targeted by scammers. In this context, Google Pay is much better.
You don’t have to pay any fee to use it, but you can make an instant transfer using only a debit card. Another significant advantage of the app is that you can work through browser cookies. But it will work with a personal account where you have to exchange emails.
Google Pay fee and pricing
- Free: Bank transfer.
- Credit fee: Up to 4%.
- Debit fee: 1.5% or $0.31.
- Transfer limit: $5000.
2. Apple Pay
As the name suggests, Apple Pay only works for wireless devices. One of the reasons why users prefer it is the simple interface. You need to set up a Face ID and passcode on your iOS device, through which the account will be secure.
According to statista forecast from 2022 to 2026, Apple Pay users will be 56.7 million.
Apart from these, the app has some other great features. The user gets 2% cashback on all his transactions. It also includes a proper system for the security of app users. If your device is lost, you can remotely disable your phone. No one can use your device or account until you get it back.
Apple Pay fee and pricing
- Free: Bank transfer.
- Credit fee: 3%
- Debit fee: Free (1% or $0.25 for instant transfer)
- Transfer limit: $10000.
Related: 7 Great Apple Music alternatives For Music Streaming Needs
3. Zelle
Zelle is one of the best alternatives to Venmo. It’s a good app for paying no fees, but those in the U.S. looking to transact outside of this should not choose Zelle. Since its launch in 2017, you may be surprised that the app has been connected to nearly 10,000 financial institutions (according to Forbes).
You can send money to the desired account in just a few minutes. Moreover, the user can earn interest on the funds in the linked savings account. However, you must inform the bank you deal with whether they charge any additional fees.
Zelle fee and pricing
- Zelle does not charge any fees for any payment or money transfer. All are free in Zelle. Another matter is if the bank or financial institution demands a different charge.
4. Wise
An important Venmo alternative for sending money internationally is Wise. It offers a lot of features to the users. You can send money to around 100 countries using it. One of its advantages is that it provides several options for sending money. They also provide Multi-currency debit cards that users can use almost everywhere in the world.
It is usually a free account but charges higher fees for faster transactions. The wise debit card requires the user to pay a one-time fee of $9 USD. However, the user is allowed two free ATM withdrawals of up to $100 per month.
Wise fee and pricing
There are various fee and pricing options available at Wise, which you must know before transacting.
- Free: Opening account, card cost, and receiving money.
- Sending money: 0.41%
- Spending with card: 1.75% to 2%.
- Holding money: 0.55% annual fee.
- Wire payments: 4.14 USD.
5. MetaPay
MetaPay is a virtual payment system that meets the needs of fast peer-to-peer transactions with enough flexibility and security. This digital wallet was first known as Facebook Pay. Later the name was changed to MetaPay. Undoubtedly MetaPay is one of the best free alternatives to Venmo.
MetaPay is widely prevalent among users as a viable alternative to Venmo because many people use Facebook. So its payment system is undoubtedly more convenient for them.
MetaPay fee and pricing
- There is no charge when you’re using MetaPay.
6. Stripe
Stripe is a famous payment service company that was founded in 2011. Startup companies get unique benefits from this service. It can be integrated with several shopping carts with no hardware required. That’s why it’s an easy solution for e-commerce businesses.
Stripe accepts more than 135 currencies to facilitate international sales. Stripe works better with larger companies. But if you compare it with PayPal, it is a bit expensive.
Stripe fee and pricing
Stripe’sStripe’s charges are divided into different categories.
- Free: There is no monthly fee required.
- Transaction Costs: 2.7% to 2.9% + 5 to 30 cents domestic.
7. Skrill
Skrill is the next popular internet payment system. It is an open and transparent payment system with high reliability and customer protection. Initially, it had a different name, but in 2010 it got the name known to all users.
About 30 million people in more than 200 countries use Skrill’s service. Although there have been fraud reports on Zelle, Skrill has always been free from them as they can prevent illegal actions.
Skrill fee and pricing
Skrill charges vary in different categories, but it is low.
- Free: Money transfer and receive.
- Send money: Up to 1%
- Send money credit card: Up to 2.99%
- Fee per transaction: Up to 4.99%
Final Thought
While Venmo stands as a trusted digital wallet, it’s not without its limitations—transaction fees being a primary concern. Furthermore, its exclusivity to U.S. citizens and compatibility with only certain financial institutions might pose challenges for some users. For these reasons, many turn to Venmo alternatives to circumvent these hurdles.
In your quest for optimal alternatives to Venmo, consider options like Google Pay or MetaPay, especially if you’re keen on avoiding transaction fees. For those prioritizing advantages in international money transfers, Skrill or Wise might be more fitting choices. Dive into these Venmo alternatives and determine the best fit for your financial needs.
Frequently Asked Questions
Is Venmo only in the US?
At the moment, Venmo is exclusively accessible within the borders of the United States. However, PayPal provides comparable services in numerous other countries worldwide.
If you reside outside the US and seek to utilize a mobile payment platform, it would be advisable to verify if PayPal or similar services are offered in your country.
Is Venmo available in the U.K.?
No, Venmo is not available in the U.K. One must choose an excellent Venmo alternative for international transactions.
What are the free alternatives to Venmo?
Fortunately, Venmo has many free alternatives such as Zelle, Paypal, MetaPay, Payoneer, Stripe, Cash App, etc.
Who owns Venmo?
Venmo is the Subsidiary of PayPal. PayPal owns Venmo since 2012.
References
2. Are there any fees to send money using Zelle
3. Here’s how to protect yourself when using payment apps like Zelle, Venmo and Cash App.
4. Best mobile payment apps in 2022, tested by our editors.
5. From buy now, pay later to Venmo, here are 4 of the best ways to pay for holiday gifts.
6. https://www.softwaresuggest.com/us/venmo/alternatives
7. https://www.cnet.com/personal-finance/best-payment-apps/
8. https://www.quora.com/Is-there-an-alternative-to-Venmo-for-the-United-Kingdom
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