In a move to streamline transactions and reduce scams, digital payment app Zelle has discontinued its standalone mobile application. The change took effect on April 1st, marking the end of an era for users who relied on the app to send money instantly.
While Zelle itself is still active, the company has determined that less than 2% of transactions occur through the standalone app. Instead, most users have switched to utilizing the service through their bank’s mobile app or website, with over 2,200 US financial institutions now offering Zelle integration.
In an October 2024 press release, Zelle explained: “The vast majority of people using Zelle to send money use it through their financial institution’s mobile app or online banking experience, and we believe this is the best place for Zelle transactions to occur.”
However, the decision has not gone without controversy. In December, the Consumer Financial Protection Bureau (CFPB) filed a lawsuit against Zelle and three of the largest US banks, alleging that they failed to protect consumers from widespread fraud on the peer-to-peer payment network. The lawsuit has since been dropped.
Despite this setback, users have numerous alternatives for digital payment services. Some popular options include:
* Apple Wallet
* Cash App
* PayPal
* Venmo
When using any of these apps, it’s essential to exercise caution and take basic precautions to avoid falling victim to scams. Chase Bank has already started blocking some Zelle payments that it believes could be fraudulent.
To stay safe, follow these guidelines:
* Only send money to people you know and trust.
* Watch for red flags such as urgent messages claiming to be from your bank or online ads offering concert tickets at impossibly cheap prices.
* Be wary of suspicious emails or messages requesting payment information.
As the digital payment landscape continues to evolve, users can rest assured that there are still plenty of options available for sending money instantly and securely.
Source: CNET
