Mobile payment apps are now part and parcel of our lives. Some of the most popular apps include Cash App and Zelle, and they have some differences in terms of features and functionality. The following are some points to keep in mind when comparing Cash App vs. Zelle.
The convenience of these two platforms is clear. But which is the best? Let’s take a look at the similarities, differences, advantages, and disadvantages of Cash App and Zelle.
Cash App vs. Zelle: Which is the best one for You?
Cash App
Square Inc.’s Cash App has numerous features that attract numerous people to use it. It allows you to send and receive money instantly, divide bills among friends, and invest in stocks and cryptocurrencies.
Its user-friendly interface enables users to link their debit or credit cards to their accounts to enable easy transactions. Cash App offers a free Cash Card through which one can directly spend from the app balance.
Features:
- Real-time P2P money transfers
- Bill payments and subscriptions
- Bitcoin trading
- Stock trading capabilities
- Has Cash Boost” rewards program
How To Set Up A Cah App Account:
1. Download and install the app
You can download the Cash App from the App Store for iOS devices and from the Google Play Store for Android devices.
2. Create your account
Click on the Cash App and sign up
Enter your email address or phone number for a confirmation code.
3. Verify Your Account
Once you receive the confirmation code, key in the code into the app to verify your account.
You may also be tasked with making a Cashtag, which is the identity of a Cash App username.
4. Link your bank or debit card
For you to be able to use the Cash App to make payments or receive payments, you will need to link your bank account or debit card.
5. Visit your profile by clicking on the profile icon in the top-left corner of the menu and then selecting Add Bank or Add Card.
6. Set up security features:
Secure your Cash App account even more by implementing safety features.
Turn on touch ID or face ID biometric authentication.
7. Add Funds to Your Cash App Account:
To add cash to your Cash App, click on the ‘Banking’ tab. Click ‘Add Cash’ and then enter the amount you wish to add up. From here, choose the source of funds, either your linked bank or debit card.
Zelle
Zelle is a service that is jointly offered by big American banks, enabling people to instantly transfer money from their bank accounts. As opposed to Cash App, Zelle does not require a specific account or app to use the service.
By tapping a few buttons on your mobile banking app, you can send or receive in just a matter of seconds. Zelle’s ease of use combined with the utilization of the existing banking infrastructure for secure transactions is what has made it so popular.
Features
- Direct transfers from bank accounts
- Quick and secure transactions
- P2P payments within participating banks
- Splitting bills and requesting money
- Integration within banking apps
How To Set Up A Zelle Account
i. Check if your bank supports Zelle
The first step is to check if your bank supports Zelle. Several big banks in the US have merged Zelle into their mobile banking apps. Visit your bank’s website, contact their customer support, or find the Zelle option within your bank’s mobile application.
ii. Download and update your banking app
Make sure you have the latest version of your bank’s mobile app installed on your smartphone or tablet, provided your bank supports Zelle. The app can be downloaded or updated from the App Store (compatible with iOS devices) or Google Play Store (compatible with Android devices).
iii. Log into Your Bank’s Mobile App
On your mobile app, log in using your username and password. You might have to sign up for internet banking before having Zelle.
iv. Link your email or phone number
Simply follow the given prompts to sign up for Zelle or connect your email address or phone number to your bank account. This step is a must for users to send and receive money via Zelle.
v. Verify Your Identity
You may have to prove your identity. This include a verification code that is sent to your email address or phone number.
vi. Add a Funding Source
If you want to transfer money through Zelle, you will have to connect with a funding source. Add and verify your funding source according to the given instructions.
vii. Start sending money
Once you have Zelle in place, you can begin sending money to friends, family, or any other person with a registered Zelle account. In most cases, you would want to have the recipient’s email address or phone number linked to their Zelle account.
Cash App vs. Zelle: Similarities
Even though Cash App and Zelle have different backgrounds, they still have some underlying similarities. Peer-to-peer transfers are also allowed on both platforms. They both are available on iOS and Android devices.
In addition, Cash App and Zelle allow instant transfers, thereby reducing the transfer waiting time characteristic of bank transfers.
Differences between the Cash App and Zelle
1. User Interface and Accessibility
- Cash App: Has a standalone app with modern interface.
- Zelle: Easy integration with traditional banks.
2. Transaction Speed and Limits
- Cash App: Cash App transactions happen instantly due to the immediate processing of the required funds in a digital wallet without certification. The platform may also be limited in the maximum amount of transferable funds it can handle over some time.
- Zelle: Zelle transfers are well known for their speed, with most of them happening in real time, particularly when both Z-Chiefs belong to the same bank. Banks can have transaction limits.
3. Integration and Compatibility
- Cash App: With the elimination of traditional banks, the Cash App is available to anyone with an appropriate smartphone regardless of the user’s bank.
- Zelle: The fact that Zelle has been integrated into banking apps makes the service available only if the bank of the user provides the service, i.e., the service is available only for the users whose banks offer it.
Pros and cons of Cash App vs. Zelle
Cash App
Pros:
User-friendly interface
- Flexibility, with a focus on stock investing, cryptocurrency trading, and Bitcoin inclusion.
- Optional Cash Card, which facilitates on-the-spot cash access.
- “Cash Boost” rewards program.
Cons:
- Fees for certain services.
- Limits on transaction amounts.
- There is much less connection with traditional banking institutions.
- Limited customer support options.
- Limited international transfer support.
- Stock trading options are hard, especially for beginners.
Pros and cons of Zelle:
Pros:
- Ease of integration with many traditional banks.
- Real-time transactions.
- There is no Zelle app specifically for transactions.
- It is widely compatible with existing bank accounts.
Cons:
- It depends on the bank of the user.
- Banks may have varying limit rates.
- The inability to remit money to non-account-bearing users.
Read also:Â CashApp Loan Vs. Paypal Loan: Which One Is Better?
Conclusion
Cash App and Zelle have their advantages and disadvantages, which are aimed at specific user needs. If you are looking for convenience and instant money transfers, along with the ability to invest in stocks or cryptocurrencies, then Cash App is the best choice for you.
On the other hand, if you want to enjoy easy access, smooth and connectivity with your banking application, you should go for Zelle.
