Go | New | Find | Notify | Tools | Reply | |
| FedNow | Login/Join |
Minor Deity |
https://www.federalreserve.gov...s/other20220829a.htm We may be slowly catching up to Europe when it comes to instant bank-to-bank transfer for the masses.
| ||
|
| Unrepentant Dork Gadfly  |
Ok wait. So here we have ETransfer. I can open my bank app and send money to anyone as long as I have their phone number or email address. The money shows up immediately (occasionally there will be a delay of 20 minutes and people lose their minds because it happens so rarely). My husband and I use it to move money between three banks. It’s pretty much the only way people pay for Facebook Marketplace or Kijiji (like Craig’s List) purchases. During the pandemic folks constantly sent money to friends and small businesses this way and then the stuff would be dropped off at your front door with no contact. I use it to pay for manicures, charcuterie boxes from a small local business, etc etc. Is that what they are talking about? And if so, how do you survive without it??
| |||
|
Has Achieved Nirvana |
I use Zelle, which sounds like sounds like the same thing? 
| |||
|
| Minor Deity |
Article comparing various payment systems (credit card, debit card, ACH, PayPal, Venmo, etc.) with FedNow: https://www.americanbar.org/gr.../2019/201911/fednow/ Zelle is mentioned in there somewhere but the article doesn’t really get into Zelle. This one compares Zelle with FedNow a bit more in-depth: https://www.aciworldwide.com/r...-payments-for-the-us
| |||
|
Has Achieved Nirvana |
There are a number of P2P payment services. PayPal, Venmo, Zelle... https://www.nerdwallet.com/art.../p2p-payment-systems (eta: Just saw Ax's links comparing the P2P with FedNow) I'm trying to avoid the whole $600 limit for 1099-K reporting so I've been dealing in cash for craigslist stuff. Up until recently, that is, when I finally broke down and set up Zelle to receive payment for some bookcases I was selling. 
| |||
|
| Has Achieved Nirvana |
Sounds like the Feds are going to compete with Zelle. OK by me and probably the banks as well as I doubt Zelle makes them much money. The thing to watch will be how well the software works. Zelle always works and doesn’t cost anything to use. Venmo usually works but charges fees unless you’re willing to wait three days. PayPal, after all these years, is still something of a mess and without eBay I doubt they’d still be around. The Feds don’t have a great track record as far as software (I’m looking at *you*, IRS), and I’ll wait a while before I sign up. It wouldn’t surprise me to learn that the software runs on COBOL and requires a (case sensitive) 21 character password that you have to change every few weeks. We shall see.
| |||
|
| Unrepentant Dork Gadfly |
Here the difference is that everything goes directly through your bank. I go to my bank’s app to send the money directly out of my account. It appears in my friends account immediately. There is no third party involved (well, except for Interac, which is the same folks that run ATMs here, and that’s all on the bank’s side so I don’t have to connect my bank info to a third party).
| |||
|
| Unrepentant Dork Gadfly |
Also the funds are available immediately for us. I have sent money to my son to buy something for me when he was standing in line to pay with $0 in his bank account until I transferred the money.
| |||
|
| Has Achieved Nirvana |
Zelle works that way too. It’s all done through my bank’s app.
| |||
|
Minor Deity |
This reminds me that I wrote you asking about what you meant when (elsewhere) you said in reference to transfers, something like "woe betide anyone who gives PayPal details of a bank account. I have been using PayPal for years with no problems (and using a bank with details in their hands, both for sending and receiving). What did you mean, and what experiences (personal or heard second hand) were you basing it on? Not doubting you - just nervous!
| |||
|
| Has Achieved Nirvana |
If there’s a problem with a credit card charge you can block it easily. If there’s a problem with a charge to a checking account it’s much more difficult, and up until recently it was nearly impossible. Widespread use of debit cards (which banks like) may have changed this somewhat. Fraudulent debit card purchases are now dispatched fairly quickly. PayPal may now be the same but I’d check with your bank.
| |||
|
| Has Achieved Nirvana |
Zelle scam. https://krebsonsecurity.com/20...s-how-to-fight-back/
| |||
|
| Has Achieved Nirvana |
Good grief.
| |||
|
| Has Achieved Nirvana |
I got a text message about an attempt to use our Discover card a few months back. It said the charge had been declined. It came in at 10 pm and somehow I missed it. Another text came in at 2 am saying something had been charged; I heard the text alert and got up and read the message. I went and looked up the phone number for Discover and called them. Turned out our card had been compromised and the alerts were legit. The Discover alerts looked very much like the Zelle scam ones. I would never respond to these kinds of texts or call the number in the text, but I could see how easily people could fall into that trap.
| |||
|
| Powered by Social Strata |
 | Please Wait. Your request is being processed... |
|